A Round-up of the Key Drivers for Currencies

07/02/2024

It's a quieter week in markets, certainly on the data and central bank front, though there are lots of officials speaking on the wires. The dollar rally has slowed so what are the drivers needed to see another leg higher?

Rate cut bets have been pulled as questions surround how long it will take for the US economy to decisively roll over, as its resilience and exceptionalism continues. Labour market still remain tight across major economies which keep services inflation too high for the comfort of policymakers.

Check out the graphic rounding up the major currencies after last week's major risk events: