Germany Gfk consumer sentiment for June rose slightly from -25.8 to -24.2, above expectation of -24.5. In May, economic expectations dropped from 14.3 to 12.3. Income expectations rose from -10.7 to -8.2. Propensity to buy dropped from -13.1 to -16.1.
The US dollar is broadly maintaining a weak tone going into key data this week, including GDP and a gauge of inflation, on rising expectations of rate cuts by the US Federal Reserve later this year. What’s next for the greenback?
In today's Asian trading session, Australian and New Zealand dollars extend their decline from late last week, weakening broadly. Concurrently, Japanese Yen is trailing as the next weakest currency. This picture aligns with the steady risk sentiment across Asia, except for Hong Kong stocks. On the other hand, Dollar, Euro, and Swiss Franc are showing strength, while British Pound and Canadian Dollar display are mixed.
The US dollar rose slightly while global equity markets ended largely flat in the past week as a positive start to the earnings season has been overshadowed by concerns that central banks may not be done with tightening just yet.
The forex markets have been relatively quiet during today's Asian session, with currency pairs staying within Friday's range. Major stock indexes are also demonstrating mixed performance in a tight range. Inflation data from the Eurozone and the US will be closely monitored this week. Although these figures are crucial in determining the future rate path, reactions to this week's data may be somewhat subdued, given that both ECB and Fed meetings will not reconvene until May.