US dollar falls more on relatively dovish Fed minutes.

The US Dollar (USD) is expected to fall for the third day in a row, while US traders will not be on the trading floor since US markets are closed for Independence Day. However, there is a lot to swallow following a tough day of US economic data on Wednesday, and several external events take place on Thursday. The key event that will lead up to the weekend. The election outcome in the United Kingdom is expected to bring an end to the Tories’ 14-year reign.

The focus will be across the Atlantic, with the UK voting and the ECB’s symposium coming to a close.

On the US economic front, the calendar is empty; nevertheless, as previously stated, outside data and headlines will drive the Greenback. German factory orders fell -1.6% in May, much below estimates. Furthermore, Wednesday’s poor data will continue to weigh on the US Dollar, with limited upside potential forecast for the Greenback.

Daily Market movers: Outside pressure
UK citizens are making their way to the voting booth.US Dollar Index bounces off 105.00, but selling pressure grows.

Early results are not expected until late in the evening or overnight. However, exit polls and comments from major politicians may generate headlines in due course. Keeping The Cable (GBP/USD) will be important to monitor throughout the week.
The New York Times reported that US President Joe Biden is considering resigning from the presidential contest.
The US Federal Reserve Minutes reiterated the message that markets have heard in recent weeks: additional evidence is needed to indicate that inflation is declining. However, the Federal Open Market Committee (FOMC) is divided on how long rates should remain high.
European shares are modestly up, as is Asia, with Japan leading the rally. US futures are flat, with lower trade volume than typical owing to the public holiday.
The CME Fedwatch Tool strongly supports a rate decrease in September, despite recent comments from Fed officials. The current odds for a 25-basis-point decrease are 67.3%. A rate pause is a 26.5% chance, whereas a 50-basis-point rate drop is only a 6.2% chance.
The 10-year benchmark rate in the United States is currently trading at 4.36%, close to its weekly low. The US bond market is closed due to a public holiday.