Forex news from the European trading session – June 3, 2020
- EUR in the lead, AUD late for the day
- Higher European stocks; E-minis up 0.4%
- US 10-year yields up 0.8 bps to 0.693%
- Gold down 0.4% to $ 1,720.66
- WTI down 1.6% to $ 36.20
- Bitcoin up 0.9% to $ 9,608
Stocks continued to climb over the week, with European stocks building on the positive momentum in Asia, and US futures were also slightly higher during the session.
But in the currency area, there has been a slight decline in the dollar’s rout as we see the greenback trade more mixed in all areas towards North American trade.
In particular, the AUD / USD reduced gains amid an earlier rejection around 0.6898 to 0.6940 before falling further to 0.68857 in morning trading in Europe.
GBP / USD also fell slightly from 1.2600 to 1.2560-70 as the dollar recovered part of yesterday’s sale. EUR / USD is also nearing 1.1200 after reaching new highs since March 16 around 1.1228.
There weren’t a lot of headlines about the risk, but oil was an interesting place to look amid reports that the OPEC + meeting of tomorrow is now in danger.
Compliance with the production reduction agreement is the main problem, prompting Saudi Arabia and Russia to threaten other members to play ball before accepting an extension.
As such, oil fell from around $ 37.40 to lows just under $ 36.00 before stabilizing around $ 36.20 as we look to the upcoming session.
Despite the decline in currencies, the risk rally continues with European equities posting solid gains throughout the session and this creates another atmosphere of well-being for Wall St later.