Aisha Amajida

The calendar only features a few key events that directly impact forex, so dollar traders are now focusing on the US equity markets.

Two senior officials of the Bank of England (BoE) are backing the prospect of interest rate cuts in the UK starting from June.

The United States, Japan, and South Korea have agreed to closely consult on exchange rate issues. The market sees it as a precursor to currency intervention.

The UK inflation rate persists stubbornly, influencing expectations for BoE interest rates and the trajectory of the Pound Sterling.

The US Dollar exchange rate and US Treasury Yields rallied to multi-month highs following Remarks from several Fed Officials yesterday.

The UK Unemployment Rate increased, prompting the Pound Sterling to fall ahead of tomorrow's UK inflation data release.

The US dollar did not react to the news of the Israeli-Iranian clash. Some are even relieved at the lack of signs of conflict escalation.

The market was more confident in buying the US dollar, as some Federal Reserve officials emphasized the importance of patience in policy making.

AUDUSD's rebound attempt was derailed by the publication of China's Trade Balance. The Asian economic giant may not experience a recovery as previously expected.

A UK central bank official dismissed speculation of an earlier rate cut than the Fed. However, GBP/USD remained under pressure.