US Dollar (USD) traded subdued overnight, in absence of fresh catalyst while most major central bank decisions are largely priced. The Dollar Index (DXY) last seen at 99.19 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.
USD/CNH continues to edge lower, a trend that began even before broader US Dollar (USD) weakness, as exporter flows and possible portfolio inflows support the renminbi, ING's FX analyst Chris Turner notes.
The Australian Dollar (AUD) briefly fell after a softer-than-expected GDP print, but strong private demand and resilient consumption helped the currency reverse losses.
EUR/USD advanced in Asia as sharply lower USD hedging costs for eurozone investors—now down to 1.85% from 2.40%—boosted demand for the single currency alongside improved terms of trade.
The EUR/USD pair extends its upside to around 1.1635 during the Asian trading hours on Wednesday. Signals that the European Central Bank (ECB) is done cutting interest rates provide some support to the Euro (EUR) against the US Dollar (USD).
Silver (XAG/USD) enters a bullish consolidation phase during the Asian session on Wednesday and holds steady near the all-time peak touched earlier this week. The white metal currently trades below mid-$58.00s, down 0.20% for the day, through it lacks follow-through selling.
The EUR/USD registers modest gains of 0.12% late on Tuesday during the North American session, as risk-appetite improves. Expectations for another Fed rate cut in December and Eurozone’s elevated inflation reading, keep the shared currency bid.
Gold (XAU/USD) dips some 0.80% on Tuesday as traders seem to be booking profits ahead of next week's Federal Reserve (Fed) monetary policy meeting, amid a firm US Dollar. At the time of writing, XAU/USD trades at $4,193, after hitting a daily high of $4,240.
The Euro (EUR) trades flat against the US Dollar (USD) on Tuesday, pressured by a steady Greenback in an otherwise calm market. At the time of writing, EUR/USD is trading around 1.1607, pausing a six-day winning streak after briefly rising to over two-week highs on Monday.
GBP/USD holds steady near 1.3200 on Tuesday as the US Dollar (USD) registers minimal gains, despite the US economy continuing to show signs of weakness, which could prompt the Federal Reserve (Fed) to ease policy in the December meeting.
Although the price of USDINR is stretching to new all-time highs, traders can still target levels and define risk levels as well. IN the video, I talk about the technicals in play for the buyers and the sellers.
The British Pound (GBP) gains traction against the Japanese Yen (JPY) on Tuesday as easing Japanese Government Bond (JGB) yields weigh on the Yen and support a rebound in GBP/JPY after three straight days of losses.
EUR/USD remains range-bound near 1.1610, with support at 1.1500 and resistance at the 100-day moving average of 1.1644. Eurozone November CPI data reinforces the ECB’s on-hold stance, with headline inflation at 2.2% y/y and core CPI steady at 2.4% y/y, BBH FX analysts report.
Gold (XAU/USD) edges lower on Tuesday as traders lock in some profits following Monday’s surge to six-week highs. At the time of writing, XAU/USD is trading near $4,190, down over 1% on the day.
Gold price (XAU/USD) is down 1% to near $4,180.00 during the European trading session on Tuesday. The yellow metal slumps after failing to hold above $4,200 as the US Dollar (USD) bounces back despite weak United States (US) ISM manufacturing Purchasing Managers’ Index (PMI) data for November.
The Japanese Yen (JPY) has continued to trade at stronger levels overnight following yesterday’s gain’s triggered by the clear signal from Governor Ueda that the BoJ is planning to resume rate hikes this month.
USD/JPY remains sensitive to monetary policy divergence this month, as bets for a December 10 Fed rate cut and a December 19 BOJ hike gain traction, supporting Tokyo’s effort to stabilize the Japanese Yen (JPY).
The Pound Sterling (GBP) rose this week following relief over the UK Autumn Statement and broad USD weakness, pushing cable above 1.3275 and further away from early November lows.
The Euro (EUR) is gaining against the US Dollar (USD) as markets price in a December Federal Reserve rate cut, shifting structural drivers back into focus.
Markets welcomed Moody’s decision to maintain Hungary’s sovereign rating with a negative outlook, seeing the risk of a downgrade as already priced in after higher fiscal targets were announced.
Prime Minister Keir Starmer defended Chancellor Rachel Reeves and the Office for Budget Responsibility after a premature report release, stressing fiscal stability despite political criticism, Commerzbank's FX analyst Antje Praefcke notes.
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