"I think what the data does say is the Fed can afford to be on pause and not have to raise interest rates. I don't think this is giving us the real green light to say that there will be aggressive rate cuts. We've got another inflation read before the next Fed meeting in June. So, that's going to provide a better focal point going right into the meeting," said Sahota.
The U.S. will report initial jobless claims and producer price data on Thursday, which could
reinforce recent signs of a softening labor market and cooling inflationary pressures from wages.
And Sahota said the escalating U.S. debt-ceiling tension presents "a real danger that is not being
priced in that aggressively in the marketplace."
Meanwhile, in cryptocurrencies, bitcoin rose 0.24% to $27,730 after dipping almost 3% earlier in the session.
======================================================== Currency bid prices at 3:30PM (1930 GMT) Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid Previous Change
Session
Dollar index 101.4100 101.6200 -0.20% -2.010% +101.8000 +101.2100
Euro/Dollar $1.0983 $1.0961 +0.21% +2.51% +$1.1007 +$1.0940
Dollar/Yen 134.3100 135.2400 -0.69% +2.44% +135.4650 +134.1200
Euro/Yen 147.51 148.21 -0.47% +5.14% +148.6700 +147.0500
Dollar/Swiss 0.8891 0.8907 -0.17% -3.84% +0.8927 +0.8868
Sterling/Dollar $1.2628 $1.2622 +0.06% +4.44% +$1.2680 +$1.2603
Dollar/Canadian 1.3373 1.3382 -0.06% -1.30% +1.3414 +1.3335
Aussie/Dollar $0.6778 $0.6762 +0.27% -0.54% +$0.6818 +$0.6745
Euro/Swiss 0.9764 0.9760 +0.04% -1.32% +0.9776 +0.9744
Euro/Sterling 0.8696 0.8687 +0.10% -1.67% +0.8700 +0.8673
NZ $0.6366 $0.6335 +0.46% +0.23% +$0.6381 +$0.6324
Dollar/Dollar
Dollar/Norway 10.5000 10.5610 -0.46% +7.11% +10.5750 +10.4460
Euro/Norway 11.5278 11.5844 -0.49% +9.85% +11.6107 +11.4760
Dollar/Sweden 10.2220 10.2047 +0.42% -1.79% +10.2531 +10.1640
Euro/Sweden 11.2285 11.1812 +0.42% +0.71% +11.2415 +11.1705
<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ World FX rates Euro bulls go all-in ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^> (Reporting by Laura Matthews; Additional reporting by Amanda Cooper in London and Rae Wee in Singapore; Editing by Sharon Singleton, Kirsten Donovan, Richard Chang and Cynthia Osterman)