EU FX Handover: Risk Remains Off the Menu
Fawad Razaqzada May 8, 2019 8:35 AM
A summary of news and snapshot of moves ahead of the US session.
- NZD has been replaced by the pound as the weakest major currency so far in the day. The JPY was the strongest, followed closely by the EUR.
- RBNZ cut rates to a record low of 1.5% but the kiwi was able to trim its losses quickly after the central bank hinted that 1.5% could be the floor (for now).
- Overall, FX markets are mostly in holding patterns ahead of key trade talks in Washington between Chinese and US representatives, with haven currencies mostly on the front foot.
- Elsewhere, gold has extended its gains for fourth day on US-China trade concerns but it was still holding below its bearish trend line; bond yields were trending lower, and US index futures pointed to a weaker open on Wall Street following heavy losses the day before.
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