USD bounces back after yesterday’s dip

Key Movers

In Eurozone news, the Italian Trade Balance was released, showing the difference between the exports and imports of goods in Italy. This data came in lower than expected at 4.34 billion versus the expected 4.77 billion. This dip showed Italy spending more on imports than its earnings from exports.

The GBP dipped against the USD this morning and was down slightly against the CAD and EUR as well. The Bank of England’s (BoE) policymaker Megan Greene noted that inflation persistence has waned since she joined the Monetary Policy Committee (MPC) last year. However, the BoE is expected to wait for more substantial evidence that sticky inflationary pressures are lessening before cutting rates.

In Australia, the AUD Unemployment Rate came in higher than expected in last night’s release at 4.1% versus the anticipated 3.9%. The AUD/USD pair saw a 4-month high prior to this data release but quickly declined after the release to be down versus both the USD and CAD so far today.

The Canadian dollar saw some strength this morning, climbing upwards against the EUR, GBP, and AUD so far today. Canadian markets are looking ahead to next week’s Consumer Price Index (CPI) data release, which may cause movement for the Loonie. Oil was up this morning by around 1.11% to 79.50, lending some support to the commodity-linked Loonie.