DXY rises slightly amid mixed data releases

Key Movers

In the Eurozone, the German Zentrum für Europäische Wirtschaftsforschung (ZEW) indicator of economic sentiment reported a decline in the July 2024 survey. The ZEW indicator reflects the expectations in six months of 300 financial experts on inflation rates, interest rates, stock markets, exchange rates, and oil prices for leading global economies. This was the first time since July of last year that this index has declined. The European Central Bank (ECB) is set to have its policy meeting on Thursday, and the market is anticipating a hold on interest rates. The EUR/USD pair dipped very slightly by around -0.06% to sit at the 1.0888 level.

In the United Kingdom, the USD edged away from five-week lows against the GBP as markets continued to evaluate the likelihood of a rate cut in September following comments by Federal Reserve Chair Jerome Powell. The GBP/USD pair dipped slightly by around -0.10% to the 1.2954 level.

The CAD remained mostly stable so far today despite disappointing monthly Consumer Price Index (CPI) and Median yearly CPI data releases. Monthly CPI, which measures the overall change in the prices of goods and services that people typically buy, came in lower than expected at -0.1% versus the expected rise of 0.1%. Median Yearly CPI data, which measures the core inflation level, also came in lower than expected at 2.6% versus the expected 2.7%. In oil news, West Texas Intermediate (WTI) crude oil was slightly down this morning by around -1.40% to the 80.846 level.