The dollar came second to a resurgent sterling yesterday while the markets were closed for Independence Day, while continuing to track sideways against the euro as it has been for the past two to three weeks.
There were no data releases yesterday from the US, but today, continuing the focus on services PMI for June, while Europe’s hovers around 58 and the UK at 62.5, the US is expecting a reading approaching 65 when it reports this afternoon. This would signal a stronger economic recovery than its rivals but at a slower pace than the 70.4 reported last month.
Tomorrow evening the focus will be back to monetary policy, with the minutes of the Federal Reserve’s meeting being released at 7pm and giving hints on interest rate policy.
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