USD/INR – The Indian rupee opened little changed against the dollar in the wake of quiet Asian cues amid doubts over the U.S.-China trade pact. The rupee opened at 71.24 compared with the previous close of 71.23. Yesterday, the rupee registered a near 50-paisa swing, closing lower after having climbed to 70.75 earlier in the session. The currency’s flat opening is expected amid a pullback in the Chinese yuan after yesterday’s jump. The outlook on the U.S.-China trade remained a prime driver for the yuan and other Asian currencies. Yesterday, Bloomberg reported, citing people familiar with the matter, that China wanted more talks this month before signing a deal that was reached last week. Last Friday, the U.S. and China agreed to a mini-deal in which Washington agreed to suspend an October tariff increase in return for agricultural purchases by Beijing. The agreement is expected to be signed next month at the Asia-Pacific Economic Cooperation summit.
EUR/USD – The euro also stood flat at $1.1026 versus the greenback, off Friday's three-week high of $1.1062. Eurozone industrial production rose in August by more than expected, official estimates showed on Monday, as factories invested more on machinery in a positive sign for the bloc's economic outlook amid a largely gloomy outlook. The European Union statistics agency Eurostat said industrial output in the 19-country bloc grew in August by 0.4% on the month, above the market consensus of a 0.3% rise. The increase, only the third monthly increase in 2019, fully offset the 0.4% drop recorded in July. The reading could reduce concerns about a slowdown of the eurozone economy in the third quarter.
GBP/USD – Sterling slipped from a three-month high touched on Friday as last week's euphoria gave way to doubts over whether a timely Brexit deal could be clinched. The pound was last quoted at $1.2604 versus the dollar, little changed on the day. A deal to smooth Britain's departure from the EU hung in the balance on Monday after diplomats indicated the bloc wanted more concessions from Prime Minister Boris Johnson and said a full agreement was unlikely this week. Johnson says he wants to strike an exit deal at an EU summit on Thursday and Friday to allow an orderly departure on Oct. 31. If an agreement is not possible, he says he will lead the United Kingdom out of the club it joined in 1973 without a deal – even though parliament has passed a law saying he cannot do so.
USD/JPY – The dollar hovered below 2-1/2-month highs against the yen on Tuesday, failing to extend recent gains as optimism over trade negotiations between the world's two largest economies and for an orderly British exit from the European Union started to fade. The dollar was steady at 108.35 against the yen, still not far from its 2-1/2-month high of 108.63 yen marked on Friday. Although markets initially welcomed the "Phase 1" trade deal between the United States and China that President Donald Trump outlined last week, a lack of details kept many investors cautious.
Currency Range for today
Important data releases today
|2:00 PM||GBP||Average Earnings Index +Bonus (Aug)||4.0%||4.0%|
|2:00 PM||GBP||Claimant Count Change (Sep)||26.5K||28.2K|
|2:30 PM||EUR||German ZEW Economic Sentiment (Oct)||-27.0||-22.5|
29 May 2020 04:28 PM
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29 May 2020 01:24 PM
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28 May 2020 10:11 AM
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