UOB’s Quek Ser Leang and Lee Sue Ann report a sharp rebound in USD/CNH above 6.78, which invalidated their prior bearish view. They now see the pair as neutral, expecting consolidation between 6.7620 and 6.7980 near term, with 6.7850 and 6.7980 acting as key resistance levels.
Scotiabank’s Analyst Team notes the Canadian Dollar (CAD) has slipped below 1.39 against the US Dollar (USD) as weak domestic data contrast with stronger United States (US) figures, widening rate spreads in favour of the USD.
Danske Research Team expects the ECB to raise its deposit rate by 25bp to 2.25% on June 11, in line with market pricing and consensus. They highlight upside surprises in core inflation and higher Oil futures, alongside weaker Euro area growth.