The New Zealand Dollar recovers some ground as Wednesday’s Asian session begins, yet it remains hoovering at around 0.5740 for the third straight day, below the 20-day Simple Moving Average (SMA).
EUR/USD falls during the North American session, edges lower 0.31% as the Greenback remains bid as a sign of relief as US President Trump tempers his rhetoric on China. The pair trades at 1.1599 after reaching a high of 1.1655.
Gold plummets more than 5.50% on Tuesday as traders seem to book profits ahead of the release of September’s Consumer Price Index (CPI) data in the US, and the Greenback recovers some ground. XAU/USD trades at $4,114 after diving from a daily high of $4,375.
The Australian Dollar (AUD) trades on the back foot against the US Dollar (USD) on Tuesday, weighed down by broad-based Greenback strength amid cautious optimism that the US-China trade conflict could ease.
GBP/USD tumbles during the North American session on Tuesday, down over 0.17% as the Greenback stages a recovery, hitting a three-day high, according to the US Dollar Index (DXY). At the time of writing, the pair trades at 1.3384 after reaching a high of 1.3417.
Gold (XAU/USD) drifts lower on Tuesday after retesting its record high near $4,380 on Monday. The pullback comes as the US Dollar (USD) extends its recovery gains and traders lock in profits following an overextended rally.
Gold was rejected at the $4,380 area for the second time on Monday, and the precious metal has lost more than $100 on Tuesday, reverting the previous day’s gains, with precious metals hammered by an improving market sentiment and a stronger US Dollar.US President Trump calmed markets on Monday, anno
New Zealand Dollar’s rejection at the 0.5750-0.5760 resistance area on Monday has reactivated bearish pressure on the pair, pushing prices to the bottom of last week’s trading range, right above 0.5700, which is being tested at the moment.Positive comments from US President Trump, who showed hopes o
US Dollar (USD) could trade in a range, likely between 7.1190 and 7.1300. In the longer run, USD could drop to 7.1130; a clear break below this level will shift the focus to 7.1000, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
The outlook for New Zealand Dollar (NZD) is neutral now, and it is likely to trade in a range between 0.5685 and 0.5770, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
Australian Dollar (AUD) is facing mild upward pressure and may edge higher to 0.6530; it is unlikely to break clearly above this level. In the longer run, for the time being, AUD is expected to trade in a sideways range of 0.6445/0.6555, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
FX volatility has moderated at the start of this week, with US equities extending the rebound on eased credit market concerns, ING's FX analyst Francesco Pesole notes.
On Sunday evening, one of the many conflicts currently involving the US President escalated with Colombia. A few weeks ago, the Colombian president's US visa was revoked.
Pound Sterling (GBP) is likely to trade in a range between 1.3385 and 1.3435. In the longer run, if GBP breaks clearly above 1.3475, it could rise further to 1.3505, potentially testing 1.3530, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
EUR/USD remains almost entirely driven by US credit/equity sentiment: here, further stabilisation could take EUR/USD all the way to 1.160. Levels below that will be harder to justify unless the US CPI on Friday comes in hotter than expected, ING's FX analyst Francesco Pesole notes.
Softer underlying tone suggests Euro (EUR) is likely to edge lower within a range of 1.1625/1.1660. In the longer run, the current price movements are likely part of a 1.1580/1.1690 range-trading phase, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
After a brief period of uncertainty, Sanae Takaichi was elected as Japan's first female prime minister early this morning. After she was elected chair of the LDP in early October, this seemed to be a foregone conclusion.
Canada releases inflation figures for September today. Headline CPI should have rebounded above 2.0%, but that won’t matter too much for the Bank of Canada as long as core measures (trim and median) remain anchored around 3.0%.
EUR/JPY halts its four-day losing streak, trading around 176.00 during the European hours on Tuesday. The technical analysis of the daily chart indicates an ongoing bullish bias as the currency cross is positioned within the ascending channel pattern.
The AUD/JPY cross trades in positive territory near 98.25 during the early European session on Tuesday. The Japanese Yen (JPY) edges lower against the Australian Dollar (AUD) as the dovish Sanae Takaichi is poised to become the first female Prime Minister.
South Korea's exports fell 7.8% in early October, and while this weak data has cemented expectations for a Bank of Korea rate cut in November, the bank is expected to hold rates steady this week.
The USD/JPY holds firm on Monday, hovering around 150.60 amid a risk-on environment amid the Fed blackout period and the lack of US data, due to the government shutdown. The lack of market moving comments by US President Donald Trump, could keep the pair trading at familiar levels.
EUR/USD is virtually unchanged during Monday’s North American session, slightly down 0.05% at around 1.1643 after hitting a daily high of 1.1675 amid a scarce economic docket in the US.
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