Sterling is subdued against the majority of its peers this morning as investors are reluctant to move ahead of the Bank of England (BoE) rate decision later this afternoon.
The Euro was able to find some gains at the start of the European session with the release of Germany’s latest employment data as it showed that the jobless rate held at a record low of 5.6%.
The US Dollar was unable to hold onto gains at the end of the US session as it became clear that Donald Trump is likely to nominate Federal Reserve Governor Jerome Powell as the next chair of the Fed, disappointing some investors who expected a more hawkish candidate.
The Aussie is at 3-month lows against most currencies due to the perception that low inflation figures lower the chance of upcoming interest rate rises and hence upwards pressure on the AUD.
The Kiwi bounced back overnight from its post elections blues as investors were impressed by a larger than expected fall in New Zealand’s unemployment rate.