Brits go to the polls on June 8th in what has turned out to be an unexpectedly open campaign. High uncertainty about the results and also about the turnout imply a potential for high volatility.
The Australian economy showed signs of resilience as GDP figures for the first quarter of the year showed the nation expanding during the quarter. This comes after a number of analysts started doubting the country’s ability to grow, revising their estimates downwards after the balance of payments figures the day before projected a big negative drag on GDP from a decline in net exports.
The dollar weakened to a more than six-week low against the yen on Tuesday, dipping below a key technical level as Treasury debt yields slipped on increased caution ahead of a trio of potentially market moving events on Thursday.
Broad measures of the U.S. dollar gained ground Wednesday, as the buck showed its most pronounced strength against European rivals ahead of the U.K. election and the European Central Bank policy meeting, both slated for Thursday.
The Swiss National Bank appears to have dialled back its currency market interventions, the scale of which in recent weeks has been hidden by seasonal effects such as early tax payments.
Next trading day's important events
- 24h (GMT 3) UK - Parliamentary Election
- 14:45 (GMT 3) ECB Interest Rate Decision
- 15:30 (GMT 3) ECB Monetary policy statement and press conference
- USDJPY: 109.48
- EURUSD: 1.1260
- S&P 500: 2433.84
- NASDAQ: 6294.13