By: DailyForex.com
The Euro took a breather from its latest string of falls during Wednesday’s trading and edged toward the recently struck 1-month peak. Last week, the common currency had been hit hard after surprisingly timid policy moves from the ECB. Markets will focus on upcoming speeches to be given by two members of the ECB’s governing council, Ardo Hansson and Ewald Nowotony. What will be important is to hear if there has been any sort of power shift within the council that could signal more hawkish leanings. That would be in stark contrast to the decidedly dovish stance the ECB has been taking in recent months.
As reported at 11:09 am (GMT) in London, the EUR/USD was trading at $1.0931, rising 0.31%; the pair ranged from a session low of $1.0879 to a high of $1.0946. The EUR/GBP was flirting with today’s low at 0.7257 Pence, down 0.02%; the session peak was at 0.7275 Pence.
Commodity Currencies Recovery Short-Lived
In Asia, the oil sell-off finally lost some steam which briefly allowed commodity currencies such as the Aussie and Kiwi Dollars to recoup earlier losses. In China, the People’s Bank of China lowered the Yuan’s onshore rate again which raised speculation that the government could allow further depreciation of the Yuan in 2016 in order to boost growth. Despite the earlier bounce, the AUD/USD and NZD/USD couldn’t sustain the momentum; the AUD/USD was trading lower at $0.7197, a loss of down 0.36% while the NZD/USD was trading at $0.6613, down 0.66%.