Today’s trading session has seen modest price action in major currencies and
equity indices, although the Dollar is broadly weaker following mixed US
macro data for June. Private sector employment rose by a less-than-expected
2.4 million but the ISM manufacturing PMI rose more than forecast to 52.6
from 43.1 in May. European equities have again ended flat for the day while
the S&P is currently up 0.5%.
Sterling, which has tended to be more volatile than its peers in the past month, has outperformed and is up about 0.6% versus the Dollar at time of writing. The GBP/USD cross is at is strongest level since 24th June and making a bee-line for the 1.25 level.
The Euro, which unlike Sterling has been remarkably unvolatile in recent weeks, showed little reaction to the release this morning of stronger than expected German retail sales data for May and labour market figures for June. The EUR/USD cross continues to oscillate in a narrow 1.12-1.13 range.
