A bigger than expected cut in Australian interest rates last night turned AUD bearish against euro, USD and JPY in overnight trading. Additionally, poor US fundamentals brought USD/JPY to a fresh two-month low.
Main News for Today
UK Manufacturing PMI-08:30 GMT
o Expected to show growth in the UK manufacturing sector
o GBP turned bearish against USD and EUR yesterday
o Should today’s news come in above expectations, the pound could stage a reversal during the mid-day session
US ISM Manufacturing PMI-14:00 GMT
o Expected to show growth in the American manufacturing sector
o USD spent most of the overnight session range trading against EUR, CHF, GBP and extended bearish run against JPY
o Today’s news could help USD recover some of its recent losses if it comes in above expectations
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