020 7898 0500It was a very poor start to the week for the dollar yesterday, as it dropped to a two-and-a-half-year low against the euro off the back of month-end sell offs and changes to the European Central Bank expectations. Ultimately, this resulted in a 0.4% rise in the EUR/USD pairing towards 1.1797.
The dollar also slipped to a 10-month low against sterling; one wonders how much worse the situation would be for the dollar were it not for the uncertainty surrounding Brexit in the UK.
Later today we’ll be keeping an eye on manufacturing data from the US. With the dollar weakening throughout most of July, this could come in slightly better than forecast but, as with all of these things, we shall just have to wait and see.
