In a tragic start to the day there were two explosions in Brussels airport this morning and at least one explosion on the City’s subway. At least 26 are dead and over 80 are injured. This has caused a lot of uncertainty in European markets and currencies as investors move to “safe haven” economies such as the US and Japan, both countries’ currencies have strengthened this morning. The hardest hit by today’s attacks is the British Pound as it increases positive sentiment towards a vote for leaving the EU. With the referendum only months away these terror attacks present a strong psychological case for Brexit, which Moody’s has warned would lead to a slower economy and ratings downgrades.
In other news Australian dollar is stronger this morning after housing data came in better than expected. German market data and economic sentiment is mixed, trending down, and the overall EU market sentiment is up.
EURUSD: The euro is down after terror attacks and mixed economic data.
GBPUSD: The pound is significantly down this morning after terror attacks on Brussels spark renewed fears of Brexit.
AUDUSD: Aussie dollar is up this morning after good housing data.
CADUSD: Canadian dollar close to flat, trending downwards despite decent oil prices.