MARKET PRESSURE EASES—USD MIXED
• USD mixed—market catches breath from recent trends and retraces some of move; USD weak against EM & carry; strong against rest.
• CAD is up 0.1% on broad markets. CAD strength a combination of broad moves, risk of rate hike, improved oil pricing & domestic data.
• EUR after reaching 4‐mth high falls 0.2%, reflecting the power of flows. GE & FR inflation as expected; MSCI cuts Greece to EM status.
• GBP is flat after stronger than expected employment release.
• JPY is down –0.5% as pressure eases. News flow light.
• AUD rallies 1.1% as market retraces; risk is Thurs’ employment.
• NZD rallies; RBNZ expected to hold rates at 2.5%; risk is hawkish tone.
Read the full report: FX Daily
Scotiabank