The dollar continues to suffer against the euro and sterling overall, but had some respite yesterday, gaining from higher US Treasury yields.
Economic data was mixed yesterday, with the most notable result being Durable Goods Orders for June which reversed last month’s gains to a reading of -1.3%, well below the expected 0.7% gain.
Today we have Personal Income and Spending for April. Last month’s record gain of 21% was down to large cheques popping onto doormats as part of the US government’s pandemic recovery plan, so it will be interesting this month to see how much of that was spent.
That will play into the argument over US inflation and the advisability or otherwise of the Federal Reserve’s expansionary monetary policy. Look out for this data at 1.30pm.
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