Forex news from the European trading session – 2 June 2020
- AUD leads, JPY lags on the day
- European equities higher; E-minis up 0.5%
- US 10-year yields up 1 bps to 0.67%
- Gold flat at $ 1,740.10
- WTI up 2.1% to $ 36.20
- Bitcoin up 4.3% to $ 10,098
The dollar is once again trailing – this time alongside the yen – as the market takes another glass half-full approach, with equities continuing to push higher on the session.
US futures turned losses of around 0.3% as China said that they are still continuing with soybean purchases from the US, with E-minis sitting about 0.5% higher now.
The push higher in risk weighed on the dollar and yen, more so the latter as we see USD/JPY climb towards 107.80 levels from around 107.60 earlier in the day.
But the dollar also saw heavy declines with EUR/USD climbing to fresh highs since 17 March in a move from 1.1140 to 1.1188. Meanwhile, cable pushed to a fresh one-month high in an early move from 1.2500 to 1.2576 before backing off a little.
Risk currencies continue to outperform as well with AUD/USD extending gains to its highest levels since January, rising from 0.6790 to 0.6869 as the RBA also left its cash rate unchanged and didn’t push back against the gains in the currency over the past month.
Amid the civil unrest in the US, the market is continuing to keep calm and march forward. In these crazy times, the Nasdaq looks set to hit an all-time high soon enough.