This is what you need to know to trade today monday august 1:
Despite the high inflation data in the US, the dollar struggled to find demand on Friday and the DXY dollar index ended up closing for the second week in a row in negative territory. The index remains relatively calm below 106.00 on Monday as investors expect the ISM to publish the July manufacturing and services PMI reports. The unemployment rate for June will be published in the European economic calendar. In the early hours of the Asian session on Tuesday, the Reserve Bank of Australia will announce its decision on interest rates. Meanwhile, US stock index futures are down 0.4%-0.5%, pointing to a feeling of caution in the markets at the beginning of the week.
Early in the day, the China’s manufacturing PMI hit 49 points, suggesting that activity in the Chinese manufacturing sector contracted in July. The Non-manufacturing PMI fell to 53.8 from June 54.7.
Data from the United States showed that the personal consumption expenditure price index PCE rose to 6.8% annually in June, from 6.3% in May. price index Core PCE, the Fed’s preferred gauge of inflation, rose to 4.8% from the previous 4.7%. The 10-year US Treasury bond yield, which lost nearly 4% last week, is holding on to modest daily gains early on Monday, helping the dollar hold its own against rivals. .
Despite the poor results for the dollar, the pair EUR/USD struggled to gain any upside momentum and closed the previous week largely unchanged, just above 1.0200. The pair continues to fluctuate above that level in the early stages of the European session. Data from Germany on Monday showed that retail sales contracted 1.6% on a monthly basis in June.missing market expectations for a 0.2% rise by a wide margin.
The pair GBP/USD rose over 150 pips last week and manages to consolidate gains from earlier in the week. The pair is now trading in positive territory near 1.2200.
The USD/JPY It is trading at its lowest level since mid-June and continues to slide towards 132.00.
After the impressive performance of the previous week, the Prayed seems to have entered a consolidation phase. XAU/USD is now trading sideways above $1,760.
The Bitcoin It is trading in negative territory near $23,200, after posting modest losses over the weekend. The ethereum gained 5% last week and continues to climb towards $1,700 in European morning.
Source: Fx Street
With 6 years of experience, I bring to the table captivating and informative writing in the world news category. My expertise covers a range of industries, including tourism, technology, forex and stocks. From brief social media posts to in-depth articles, I am dedicated to creating compelling content for various platforms.
