. There are no changes in the exchange market. There is no much activity. The market is waiting in ranges. Most currencies follow stock market and energy prices. The demand for risky assets helps dollar and trade currencies, lowered interest in risk helps euro. From time to time players find the reason to use. Yesterday it was production PMI in the U.K., which was better than predicted. Usually pound shows good reaction to PMI against the background of lack of strong drivers. Actually, pound demonstrated it yesterday.
All quiet on the Western front
At today’s session the RBA has left main characteristics of monetary policy unchanged. Players weren’t impressed by this decision. It was expected. The attempt of growth ended rapidly against the background of new weakening of energy prices at Asian session yesterday.
Considering the rest of this day, we can’t even say exactly whether it is worth paying attention to all that. Recently the market has shown very inactive reaction to almost all events. Today we focus on unemployment and producers’ prices in Germany, PMI business activity in British building sector, ISM of NY. Actually, only British PMI is able to become a driver, but only for pound. For everyone the issue of risk still prevails.
Our pause outside the market is too long. Still, we really don’t see conditions to enter the market now. So, we continue observing.
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