ForexLive European FX news wrap: Almost there now..

Headlines:

• Markets pensive awaiting US PPI data
• US unveils steep tariff hikes on Chinese chips, cars
• China expresses strong dissatisfaction to US tariff hikes
• BOE’s Pill: We can cut interest rates while maintaining restrictive policy stance
• BOE’s Pill: There is still some work to do on inflation persistence
• UK March ILO unemployment rate 4.3% vs 4.3% expected
• What has changed after the UK jobs data
• Germany May ZEW survey current conditions -72.3 vs -75.8 expected
• US April NFIB small business optimism index 89.7 vs 88.5 expected
• OPEC leaves world oil demand growth forecast unchanged in latest monthly report

Markets:

• JPY lags on the day
• European equities little changed; S&P 500 futures flat
• US 10-year yields down 0.4 bps to 4.476%
• Gold up 0.3% to $2,343.71
• WTI crude down 0.2% to $78.95
• Bitcoin down 2.1% to $61,759

There were some headlines to move things along during the session but the bottom line is that markets are just waiting on the US PPI data that is to come later. We’re almost there now..

The US officially unveiled a host of steep tariff increases on Chinese chips and cars mostly, impacting roughly $18 billion worth of Chinese imports. That did little to shake market sentiment though as the move has been well telegraphed already.

Equities remain relatively muted amid a more pensive mood overall. The exception being GME and AMC – which are soaring in pre-market as the memes are back, baby!

In FX, there’s not much to really work with as the dollar is fairly muted as well. Major currencies are keeping in tight ranges awaiting the US PPI data for the next move.

The pound was a little softer early on as BOE chief economist Pill spoke but he didn’t really offer much of anything new. Cable fell to 1.2510 but has recovered back to flat levels around 1.2550 now.

It’s now all on the US PPI data to offer something up for traders. Otherwise, it’ll be another wait until we get to the CPI and retail sales data tomorrow.

This article was written by Justin Low at www.forexlive.com.