USD dips slightly despite positive data releases

Key Movers

In the Eurozone, the EUR Core Consumer Price Index (CPI) Flash Estimate year-over-year, which excludes food, energy, alcohol, and tobacco, data was released. It came in higher than expected at 2.9% versus the expected 2.8%. The EUR CPI yearly Flash Estimate came in as expected at 2.5%. So far today, the EUR was down against the USD, GBP, and CAD.

This morning, the UK seemed to be on the verge of electing its first Labor government in 14 years. Economic concerns are at the forefront as the country heads to the polls on July 4, raising questions about the extent of the economic policy differences between the two major parties. Labor has centered its campaign on the promise of change, but will this be enough to sway voters and bring about a new administration after Thursday? The outcome of this election could significantly impact the FX market, as traders and investors anticipate potential shifts in economic policies and their implications for the British economy. The GBP was up versus EUR and USD but down against the CAD so far today.

The CAD was up this morning against the USD, EUR, GBP, and AUD amid continued rising oil prices. West Texas Intermediate (WTI) was up by around 0.08% so far today to the 83.45 level. Manufacturing Purchasing Managers’ Index (PMI) data was released the same as previous levels at 49.3. This data measures the activity of purchasing managers in the manufacturing sector and seemed to have little impact on the CAD.