CANADA LIBERAL LEADERHIP VOTE TO REPLACE TRUDEAU SET FOR MAR 9

MNI BRIEF: PBOC Suspends Bonds Trades As Yields Drop

MNI: PBOC Net Drains CNY14.8 Bln via OMO Friday

MNI: PBOC Sets Yuan Parity Higher At 7.1891 Fri; -2.36% Y/Y

MNI BRIEF: Banxico Set To Consider Larger Rate Cuts - Minutes

MNI: Fed’s Collins Calls For Gradual Approach To Rate Cuts

MNI: FRANCE NOV INDUSTRIAL PRODUCTION +0.2% M/M, -1.1% Y/Y

MNI: FRANCE NOV CONSUMER SPENDING +0.3% M/M, +0.3% Y/Y

MNI: NORWAY DEC CPI -0.1% M/M, +2.2% Y/Y

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2025 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

FOREX: GBP Weakness Extends, USD Index Steady Ahead of NFP

FOREX
BulletMarketsFixed Income BulletsForeign Exchange Bullets
  • The focus for G10 currency markets on Thursday has been the weaker GBP, with early moves prompting GBPUSD to print the lowest level since November 2023 at 1.2239. Despite moves stabilising, Cable remains weaker on the session, consolidating around the 2024 lows at 1.2300 as we approach the APAC crossover. The likes of GBPJPY (-0.75%) and EURGBP (+0.35%) are adjusting in tandem, highlighting the renewed Uk fiscal worries continue to permeate financial markets.
  • EURGBP extended its recovery, printing a two-month high above 0.8400. Recall on Wednesday, we had a firm break above 50-day EMA resistance, which intersected at 0.8311. Today’s continued strength undermines the recent bearish theme and suggests scope for a stronger short-term recovery, targeting 0.8448, the Oct 31 high and reversal trigger.
  • The USD index has remained steady, and will likely have been impacted by lower volumes due to the US Federal holiday and the close proximity to the US non-farm payrolls report tomorrow.
  • As such, EURUSD (-0.17%) has spent the session oscillating around 1.0300, while AUDUSD (-0.32%) price action has remained contained below the 0.6200 mark. The pair did print a fresh cycle low of 0.6172, after we had retail sales slightly below expectations. Market pricing for an RBA cut at the Feb meeting is just over 70%, supported after yesterday's slower core CPI print and retail sales figures today.
  • All focus on tomorrow’s US employment data, while Canadian jobs figures will also cross.
233 words

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
  • The focus for G10 currency markets on Thursday has been the weaker GBP, with early moves prompting GBPUSD to print the lowest level since November 2023 at 1.2239. Despite moves stabilising, Cable remains weaker on the session, consolidating around the 2024 lows at 1.2300 as we approach the APAC crossover. The likes of GBPJPY (-0.75%) and EURGBP (+0.35%) are adjusting in tandem, highlighting the renewed Uk fiscal worries continue to permeate financial markets.
  • EURGBP extended its recovery, printing a two-month high above 0.8400. Recall on Wednesday, we had a firm break above 50-day EMA resistance, which intersected at 0.8311. Today’s continued strength undermines the recent bearish theme and suggests scope for a stronger short-term recovery, targeting 0.8448, the Oct 31 high and reversal trigger.
  • The USD index has remained steady, and will likely have been impacted by lower volumes due to the US Federal holiday and the close proximity to the US non-farm payrolls report tomorrow.
  • As such, EURUSD (-0.17%) has spent the session oscillating around 1.0300, while AUDUSD (-0.32%) price action has remained contained below the 0.6200 mark. The pair did print a fresh cycle low of 0.6172, after we had retail sales slightly below expectations. Market pricing for an RBA cut at the Feb meeting is just over 70%, supported after yesterday's slower core CPI print and retail sales figures today.
  • All focus on tomorrow’s US employment data, while Canadian jobs figures will also cross.