The British Pound (GBP) trades higher against its major currency peers, but is broadly flat around 1.3455 against the US Dollar (USD), during the European trading session on Monday.

Eurozone M3 Money Supply (3m) fell from previous 3.2% to 3% in April

Eurozone HCOB Manufacturing PMI above expectations (51.4) in May: Actual (51.6)

Eurozone M3 Money Supply (YoY) came in at 2.7%, below expectations (3.3%) in April

Germany HCOB Manufacturing PMI above forecasts (49.9) in May: Actual (50.1)

France HCOB Manufacturing PMI registered at 49.7 above expectations (48.9) in May

Italy HCOB Manufacturing PMI came in at 52.9, above expectations (52) in May

The GBP/JPY cross attracts some follow-through buyers at the start of a new week and climbs to a one-month peak during the early European session. Spot prices, however, remain below the 215.00 psychological mark.

Switzerland SVME - Purchasing Managers' Index came in at 57.3, above expectations (54) in May

USD/CAD extends its gains for the second successive day, trading around 1.3810 during the early European hours on Monday. The pair appreciates as the US Dollar (USD) holds ground on increased safe-haven demand amid US-Iran peace uncertainty.

The Swiss Franc (CHF) holds moderate losses against the US Dollar (USD) on Monday, but has bounced up from daily lows, as Swiss Gross Domestic Product (GDP) and Retail Sales Figures pointed to a resilient economy in the face of the Iran war and the energy shock stemming from it.

Here is what you need to know on Monday, June 1:

The AUD/USD pair loses momentum to around 0.7180 during the early European trading hours on Friday. Rising tensions in the Middle East weigh on the riskier assets such as the Australian Dollar (AUD) against the US Dollar (USD).

The EUR/USD pair struggles to capitalize on its recent recovery gains registered over the past two days, from the 1.1585 support zone, and seesaws between tepid gains/minor losses heading into the European session on Monday.

Commerzbank’s Michael Pfister notes that Canada’s first-quarter real Gross Domestic Product (GDP) unexpectedly contracted and the previous quarter was revised lower, undermining hopes of a 2026 recovery.

The New Zealand Dollar (NZD) holds marginal losses against the US Dollar (USD) on Monday, retreating to session lows of 0.5965 from highs a few pips below 0.6000.

Germany Retail Sales (YoY) increased to -0.3% in April from previous -2%

Germany Retail Sales (MoM) came in at -0.3%, above expectations (-0.4%) in April

The USD/JPY pair trades 0.12% higher at around 159.45 during the early European trading session on Monday. The pair gains as the Japanese Yen (JPY) broadly underperforms amid uncertainty regarding whether the Bank of Japan (BoJ) will raise interest rates in the policy meeting on June 16.

The Indian Rupee (INR) opens on a positive note against the US Dollar (USD) at the start of the Reserve Bank of India (RBI) policy week.

The GBP/USD pair struggles to capitalize on its goodish recovery from a one-and-a-half-week low, touched last Thursday, and oscillates in a narrow range around mid-1.3400s at the start of a new week.

EUR/JPY steadies after six days of gains, trading around 185.70 during the Asian hours on Monday. The currency cross is maintaining a constructive bullish bias as it holds above both the nine-day and 50-day Exponential Moving Averages (EMAs).

The USD/CAD pair attracts some buyers for the second consecutive day and reclaims the 1.3800 mark during the Asian session on Monday.

USD/CHF gains ground after two days of losses, trading around 0.7830 during the Asian hours on Monday.

Silver price (XAG/USD) holds gains after experiencing volatility, trading around $75.60 per troy ounce during the Asian hours on Monday.

The EUR/USD pair trades slightly lower to near 1.1645 during the Asian trading session on Monday.

The NZD/USD pair holds losses around 0.5975 during the early Asian session on Monday. The New Zealand Dollar (NZD) remains weak following the Chinese economic data. Traders will keep an eye on the US ISM Manufacturing Purchasing Managers Index (PMI) report later in the day.

The AUD/USD pair extends the range play below the 0.7200 mark and moves little following the release of China’s RatingDog Manufacturing PMI, which eased to 51.8 in May from 52.2 in the previous month.

The USD/JPY pair kicks off the new week on a positive note and climbs back closer to the 159.50 level during the Asian session, eyeing a four-week top set last Thursday amid a combination of factors.

On Monday, the People’s Bank of China (PBOC) sets the USD/CNY central rate for the trading session ahead at 6.8167 compared to Friday's fix of 6.8176 and 6.7643 Reuters estimate.