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Session Recap: USD mixed, cautious tone prevails

FXStreet (Córdoba) - FX pairs are trading erratically with the USD mixed across the board as investors remain cautious ahead of the ECB meeting Thursday and the US nonfarm payrolls data Friday.

During the European morning, the Eurozone released April unemployment rate and May CPI figures. The Eurozone CPI rose at an annual pace of 0.5% in May, missing forecasts of 0.7% and sending the euro to a low of 1.3587. But better-than-expected unemployment rate, 11.7% vs 11.8%, helped the EUR/USD to recover back above 1.3600.

Elsewhere, the GBP/USD was flat around 1.6750 after being rejected from a high of 1.6782, while the USD/JPY was little changed at the 102.40 zone. The Aussie is outperforming following the RBA decision to keep policy unchanged, with the AUD/USD climbing as high as 0.9286.

During the New York session, the US will release Apr factory orders. Other data releases include the ISM New York index and the IBD/TIPP economic optimism.

Main Headlines in Europe:

What’s the sentiment around the EUR/USD today? – Commerzbank and OCBC Bank

Italy Unemployment came in at 12.6%, below expectations (12.7%) in April

European markets broadly lower ahead of economic data

EMU: Unemployment Rate down to 11.7% in April

EMU: Annual CPI falls to 0.5% in May against forecasts

Corrected ISM deemed as decent - Societe Generale

Kit Juckes, Global Head of Currency Strategy at Societe Generale, believes yesterday final release of the US ISM falls within the decent ranges...
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