Forex today was a quiet affair this Thursday, with China out this week and the recent risk-off action in the global equities keeping investors on the back seat. Markets continue to weigh in the US recession risks amid renewed US-EU trade tensions and growing US President Trump’s impeachment bid.
The US dollar continued to remain broadly-offered amid a three-week low recorded in the US benchmark 10-year Treasury yields that limited the moves in the USD/JPY pair above the 107.00 handle. Markets paid little heed to the comments from the Bank of Japan policymaker Funo, although USD/JPY’s downside remained capped by positive Wall Street futures.
Meanwhile, both the GBP/USD and EUR/USD remained within a tight trading range, as the focus shift towards the EUR economic docket for fresh trading impetus.
The Markit Services PMI reports will dominate Thursday’s macro calendar on both sides of Atlantic, as trade, global economic slowdown and UK/US political tensions continue to dent the risk appetite. The UK Services PMI, due at 08:30 GMT, will hog the limelight in the EU session ahead of the Eurozone Producer Price Index and Retail Sales data slated for release at 09:00 GMT.
There is more of relevance from the US dockets, with the weekly Jobless Claims and Fed Official Quarles speech due to be published at 12:30 GMT, followed by the key Non-Manufacturing PMI and Factory Orders data at 14:00 GMT. At the same time, the Bank of England (BOE) policy maker Tenreyro is also due to speak and his comments will be closely eyed amid ongoing Brexit chaos.
Gold prices regained some poise amid increased safe-haven flows and hovered around $1,500 levels while Oil prices traded modestly flat amid a bigger-than-expected US crude stocks build and economic jitters.