Forex news from the European trading session - 2 July 2021
Headlines:
- OPEC+ reportedly not yet able to resolve standoff
- What to look out for in the US jobs report later today?
- Eurozone May PPI +1.3% vs +1.2% m/m expected
- Reminder: OPEC+ decision delayed to later today
- FX option expiries for 2 July 10am New York cut
Markets:
- CAD leads, NZD lags on the day
- European equities slightly higher; S&P 500 futures up 0.1%
- US 10-year yields down 1.5 bps to 1.444%
- Gold up 0.6% to $1,786.70
- WTI down 0.2% to $75.09
- Bitcoin down 1.0% to $33,097
European trading today was more of a placeholder session ahead of the US non-farm payrolls report, with the dollar keeping steadier across the board and threatening a series of technical pushes but not really running with it.
Dollar bulls have been unrelenting this week but are likely awaiting the jobs report later for confirmation of any further extension in the moves over the past few days.
Equities were largely steady with US futures inching slightly higher after a muted start while Treasury yields are still soggy below 1.50% and nudged lower a little.
EUR/USD eased from 1.1845 to 1.1820 while GBP/USD moved down from 1.3760 to 1.3740 and both are holding just above the lows for the time being.
AUD/USD also fell further to fresh lows since December last year in a move from 0.7470 to 0.7450 before keeping around 0.7465 currently.
The loonie is a notable outperformer despite oil prices coming off the highs from yesterday, with USD/CAD retreating from 1.2450 to near 1.2400 earlier. That said, the pair is still keeping above the 100-day moving average @ 1.2385 for now.
All eyes are on the jobs report later to provide some kind of spark and catalyst for traders to act upon so let's see what that will bring before the weekend comes.
