• UK June payrolls change -9k vs 23k prior
• Cable resumes upside push after jobs data
• ECB’s Villeroy: We are close to the peak of interest rates
• Germany July ZEW survey current conditions -59.5 vs -60.0 expected
• Germany June final CPI +6.4% vs +6.4% y/y prelim
• US June NFIB small business optimism index 91.0 vs 89.4 prior
• China June M2 money supply +11.3% vs +11.2% y/y expected

Markets:

• JPY leads, NZD lags on the day
• European equities higher; S&P 500 futures up 0.2%
• US 10-year yields down 4 bps to 3.966%
• Gold up 0.6% to $1,936.05
• WTI crude up 0.7% to $73.50
• Bitcoin down 1.2% to $30,409

It was a bit of a mixed session today in European trading, with the dollar moving all over the place against a host of different major currencies. The greenback started weaker initially but now is higher against the euro, aussie and kiwi while staying lower against the yen, pound and franc.

The pound itself was boosted a little by the UK labour market report, which once again was underscored by hot wages data. That said, with markets already pricing in a terminal rate close to 6.50%, this just reaffirms that mostly. GBP/USD moved up from 1.2870 to 1.2900 on the data before extending gains to 1.2935. The pair is now at 1.2900 levels as the dollar recoups some losses from earlier.

USD/JPY was the other notable mover as it fell sharply through 141.00 from Asia to hit a low of 140.17 in Europe. The pair remains down 90 pips at around 140.30 levels, with lower Treasury yields also weighing. The bond market stays more bid so far this week and 10-year Treasury yields have fallen back down below 4% today.

Going back to the dollar, it was initially lower against the euro with EUR/USD up at around 1.1000-10 levels but is now trading to the lows for the day at 1.0985. AUD/USD also saw a similar run to a high of 0.6695 before retreating now to 0.6660 levels on the day.

Looking elsewhere, equities are keeping steadier as investors are looking for further breathing room ahead of the US CPI data tomorrow. Gold is another decent beneficiary today, with lower yields also helping out as buyers are now contesting with some near-term resistance around $1,935.

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