All eyes are on the pound, which is losing momentum ahead of the policy rate announcement

All eyes are on the pound, which is losing momentum ahead of the policy rate announcement

03.05.2022

In the previous session, the U.S. dollar saw mixed performance against both Oceania and European currencies, with the EUR/USD trading in a very narrow range of 1.049–1.054 and the AUD/USD trading between 0.703 and 0.707.However, the Australian dollar has edged higher since today’s RBA policy rate announcement, with AUD/USD briefly rising to 0.714. The currency has continued to climb even after the announcement of a 0.35% rate hike.

Ahead of this week’s Bank of England policy rate announcement, the pound has lost momentum against other European currencies, with the GBP/USD pair falling from 1.259 to 1.247. Although it has recovered half of those losses during today’s Asian trading session, the pair is currently consolidating just above the 20-period moving average on the hourly chart, so we will be watching closely to see if it loses momentum again.

Today, during European trading hours, France’s budget balance will be released at 15:45, Germany’s unemployment rate at 16:55, and the UK’s manufacturing PMI (final reading) at 17:30;at 18:00, the Eurozone Producer Price Index and unemployment rate; during U.S. trading hours at 23:00, the U.S. Manufacturing Orders Index and the JOLTS report; at 25:30, remarks by Rogers, Deputy Governor of the Bank of Canada; and at 6:00 the following day, the release of the RBNZ Financial Stability Report. We will be watching the pound’s movements, which have been losing momentum ahead of the policy rate announcement.

Past Market Reports

1. 22.04.2026New

   Will interest grow in the upside potential of the Swiss franc, which has risen against the yen?

2. 21.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

3. 20.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

4. 17.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

5. 16.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

6. 15.04.2026

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

7. 14.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

8. 13.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

9. 10.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

10. 09.04.2026

    Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?