Currency trading and the euro. The price of euro is consolidating after the strong growth on Friday, caused by the publication of weak statistics on the number of new jobs in the country. It is worth mentioning that yesterday, the Fed chief said about the positive situation on the US labor market and in case of rising inflation and the strong data on the labor market in the country, the Federal Reserve will continue to gradually raise interest rates. Today, the focus will be on the data on GDP growth in the euro area for the 1st quarter (09:00 GMT), labor costs in the US (12:30 GMT) and the volume of consumer credits in the US (19:00 GMT). Our medium-term outlook remains negative and the growth potential in the near future is limited.
Currency trading and the British pound. The price of the British pound continues to show sharp movements in either direction amid speculation related to the results of the referendum that will be held on June 23 and which will be decide on the country's membership in the EU. The country's exit from the EU will be a strong incentive to sell the pound, but we expect the opposite result, that will lead to significant growth of quotations. Tomorrow, the dynamics of trading will affect the data on industrial production in the country. We expect continued high levels of volatility in the coming weeks.
Currency trading and the Japanese yen. The price of the Japanese yen started to decrease against the US dollar after strongly increased on Friday. Strengthening of the US dollar after yesterday's speech by Janet Yellen may continue in the near future, which is negative for the Japanese currency. Investors fixed position before tomorrow's publication of important statistics on Japan's GDP in the 1st quarter, the balance of payments and the volume of bank lending in the country. Support for the yen as a safe asset, could be a drop on the stock and commodity markets. Our medium-term outlook remains negative and we expect a significant decline in the Japanese currency before the end of the year.
Currency trading and the Australian dollar. The price of the Australian dollar continued to rise, which was caused by the decision of the Reserve Bank of Australia to maintain the monetary policy settings unchanged after the previous meeting of the local regulator, it was decided to lower interest rates by 0.25% to 1.75%. It should be noted that investors also fixed positions ahead of tomorrow's publication of news on China's trade balance, which is the main buyer of Australian commodities. Current growth may continue in the near future, but the medium-term outlook remains negative and the price will depend heavily on the situation on the commodity markets.
Currency trading and the New Zealand dollar. The price of the New Zealand dollar continues to consolidate after the recent strong growth. Investors will act cautiously with respect to the New Zealand currency in connection with the expected publication of the statement of the Reserve Bank of New Zealand on monetary policy, which is scheduled for tomorrow night. Given the low level of inflation, we do not rule out lowering interest rates by 0.25%, which will lead to lower prices. Our medium-term outlook remains negative.