U.S. stocks surged at the beginning of the week, as polls suggested Britain would vote to stay in the EU. The British pound surged by 2% vs. USD as polls show a small boost to the ‘Remain’ campaign.
The U.S dollar index lost 60 pips and settled below 93.72.
The global markets are awaiting Federal Reserve Chair Janet Yellen’s speech, as Yellen could mention the economic outlook and the possibility of raising interest rates during the coming period.
GBP traded at $1.47, which represents a 200-day moving average, which could push Cable to decline or pare its gains.
Euro settled at $1.13 vs. GBP, thanks to the strong position of GBP and the lack of economic data. The single currency is awaiting important data from German; such data could push the pair to close the price gap, which opened this week.
Gold traded at $1,290 as it failed to settle above the psychological levels of $1,300.
Oil prices surged again as polls showed a lower likelihood of Britain leaving the EU. On the other hand, crude oil prices were supported by the monthly oil market report as it could reach a balance during the second half of this year. WTI touched $50 and could re-test such levels today.
The most important economic events:
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