The Euro is trading at 1.0995 at the moment. The low has traded at 1.0990 while the high has traded at 1.1053. The Euro is trading mixed today after yesterday’s selloff which came in the wake of the British referendum announcement over the weekend. The date of the referendum will be held later this year on June 23 where citizens will decide on whether or not the UK continues to be a member of the EU. During the announcement UK Prime Minister Cameron highlighted reasons why a vote to continue EU membership needs to prevail. In contrast, London Mayor Boris Johnson followed by announcing he would be campaigning for the UK to leave the EU which lifted concerns of uncertainty surrounding the outcome of the eventual vote. Earlier this morning, German Final GDP met expectations registering 0.3%. This was followed by German Ifo Business Climate which registered 105.7 which is lower than expected. This contrasting data is causing the Euro to remain largely range bound with US data to follow that could offer small chances for a breakout of the current ranges.
The British Pound is trading at 1.4106 at this writing. Sterling has traded at a low of 1.4083 while the high has traded at 1.4155. In similar fashion as the Euro, the Pound is trading mixed this morning. Sterling remains in a lower space following the referendum announcement made over the weekend by UK Prime Minister Cameron who clear supports continued EU membership. Economic benefits as well as broader security challenges are just two of the main reasons why continued EU membership is necessary according to the Prime Minister. However, London Mayor Boris Johnson is expected to lead the cause for a UK exit away from EU membership. He is expected to make a spirited case for this exit highlighting the economic challenges Europe faces as issues which are causing a drag on the UK economy. The issues include the ongoing Greek debt situation and further challenges in other countries like Portugal and Spain. Mayor Johnson believes these issues contribute to the inability of the UK economy to grow robustly on its own and separation from the EU would enhance UK economic strength. This is just one of the areas where contrasting views weigh on the outcome of the vote that will be made this coming June 23.
The Japanese Yen is trading at 112.10 at present. USD/JPY has traded at a low of 111.85 while the high has traded at 113.05. The Yen has gained this morning as its safe-haven status was once again acknowledged as the oil market took another turn moving lower. Reductions in out from other oil producers will likely be offset by Iran who is looking to increase their market share after sanctions were recently lowered. As a result, oil prices take another dive and will continue to be under pressure. There has been no significant Japanese economic data released today yet the Yen remains firmer.
AUD/USD is trading at 0.7240 with the low trading at 0.7212 and the high trading at 0.7259.
USD/CAD is trading at 1.3735 with the low trading at 1.3694 while the high has traded at 1.3746.
This information has been prepared to provide you with general information only. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information.