The Greenback continues its downfall

Yesterday’s markets

2nd August 2017

  • AUD - RBA Rate Statement
  • GBP - Manufacturing PMI: 55.1
  • USD - ISM Manufacturing PMI: 56.3

The Dollar continued to weaken yesterday after the chaos in the White House intensified. Anthony Scaramucci was removed from his job as White House communications director by mutual agreement after holding the position for just over a week. However, some are seeing the removal of Scaramucci as a start in improving the discipline within the White House. Trump tweeted yesterday that it was “a great day at the White House”. As the chaos in Washington continues the Dollar remains fragile.

The first set of high tier Manufacturing PMI figures were released yesterday. Firstly, the UK posted a slightly better than expected result at 55.1 compared to the expected 54.4. The better than forecasted number was due to stronger inflows of new work, improved job creation and higher levels of production.  In the afternoon, the US posted their Manufacturing PMI. The reading was marginally worse than expected at 56.3 compared to the forecasted 56.4.

Today’s markets

1st August 2017

  • GBP - Construction PMI
  • USD - ADP Non-Farm Employment Change
  • USD - Crude Oil Inventories

The UK will release the second of their hat-trick of PMI figures today. Construction PMI is forecast to decline slightly on last month’s reading, at 54.2. The focus will move to the US in the afternoon with the release of the ADP Non-Farm Employment Change, expected to rise to 187k from 158k last month. The weekly Crude Oil Inventories will also be released this afternoon.