ForexLive European morning FX news wrap: Pound in focus again as data and election impact on price
Forex news for the European trading session 2 June 2017
- UK government spokesman says reports of Hammond being replaced are "complete speculation"
- Latest IPSOS Mori poll has Conservatives ahead by 5%
- Pound retreats after its post- PMI push higher
- Germany says it's not government policy to impose sanctions on US for climate agreement withdrawal
- Juncker says EU partnership with China more important than ever
- US crude oil price to average $53.52 per barrel in 2017
- USDCAD rallies as oil slides again
- Forex option expiries for the 10am New York cut 2 June
- Nikkei 225 closes up +1.6% at 20,177.28
- UK May construction PMI 56.0 vs 52.7 exp
- Eurozone April PPI mm 0.0% vs +0.3% exp
- Spain May jobless total falls 3% mm
- Japan May consumer confidence index 43.6 vs 43.5 exp
It my be NFPs on many minds and that's kept price action to a minimum but the pound has had an up n down morning to steal line honours.
It's been quiet generally as robots and traders wait on any US rate hike clues from the NFP data and we've seen USDJPY trade tightly between 111.45-70 with EURUSD drifting lower to 1.1205 from 1.1225 in a session that's seen general euro weakness.
USDCAD has risen to 1.3547 from 1.3510 as oil prices have fallen further while equities have had a good session with the DAX posting fresh record highs.
It's the pound though that's seen some good two-way business as UK construction PMI data gave it a lift to test 1.2880 offers/res only to fall back again and test 1.2850 support/bids on wobbly UK election news for PM May, a move that's been repeated a couple of times in this session. EURGBP has run into offers/res at 0.8735 and returned to 0.8720.
USDCHF has been pinned down around 0.9700-10 with EURCHF stuck at 1.0890. AUDUSD has made a steady advance from 0.7380 to test 0.7400.
US NFPs and wages on their way at 12.30GMT . Let's see if they offer any clues on a June rate hike.