The U.S. Dollar is holding steady after a week that saw it surge minimally by 0.4%, per the Bloomberg Dollar Spot Index.
Economic indicators signaling a bit of a slowdown with contractions to the U.S. Industrial Production and no solution to trade concerns that are plaguing Europe were factors that maintained the buck in its current limbo. The safe-haven role still plays in favor of the greenback’s value even as U.S. data underwhelms or disappoints.
Tight FX markets could see volatility later into the summer, but with today being a major holiday for many around the world, we expect little in terms of developments that could change what has already occurred this week.
What to Watch Today…
- No major events scheduled for today.
Complete Economic Calendar can be found here.
The Mexican Peso rose by only 0.3% this week, notable best major performer against the dollar all week. This highlights how uneventful FX flows were in what seems like a short week for many market participants. Oil prices on the up-&-up plus being the safest of the Latin American places to invest and have faith in, are all keeping peso afloat as well as just 0.3% away from its strongest levels since October last year.
The British Pound was one of the biggest losers of the week after falling by almost 1.0% to the buck based on lack of faith in finding a solution to Brexit before October. As Parliament in England took a break for Easter and from the awful divorce proceedings, they were immediately criticized by the other partner in the form of EU president Donald Tusk who said everyone is exhausted so the time to find a solution is now and vacation comes later.