EUR/USD
EUR/USD has recovered its recent gains registered in the previous session, trading around 1.0780 during the Asian session on Tuesday. From a technical perspective, analysis indicates a sideways trend for the pair as it continues to lie within the symmetrical triangle.
GBP/USD
GBP/USD hovers around 1.2560 during the Asian session on Tuesday following the improved risk appetite. The Pound Sterling received support from higher-than-anticipated UK Gross Domestic Product figures released on Friday.
USD/JPY
The USD/JPY pair extends the rally around 156.20 during the early Asian trading hours on Tuesday. The Japanese Yen loses ground against the US Dollar (USD) despite the hawkish signal from the Bank of Japan (BoJ) to cut purchases of Japanese government bonds on Monday and the downbeat Nonfarm Payrolls (NFP) for April last week.
AUD/USD
The Australian Dollar (AUD) retraces its recent gains on Tuesday ahead of the Yearly Budget Release by the Australian Government due to be published later in the day. Treasurer Jim Chalmers hinted at positive developments during Sunday morning television interviews, suggesting that the upcoming budget could show a faster decline in inflation than the Reserve Bank of Australia (RBA) had predicted, as reported by The Guardian.
NZD/USD
The NZD/USD pair extends its downside near 0.6015 during the early European session on Tuesday. The downtick of the pair is backed by the stronger US Dollar (USD) broadly. Traders turn to a cautious mood ahead of the US Producer Price Index (PPI) for April and Federal Reserve (Fed) Chair Jerome Powell’s speech later in the day.
USD/CAD
The USD/CAD pair trades on a stronger note around 1.3675 during the Asian session on Tuesday. Amid the light week in terms of Canadian economic data, investors will keep an eye on the US Producer Price Index (PPI) on Tuesday and, the Consumer Price Index (CPI) on Wednesday.
USD/CHF
USD/CHF continues to gain ground for the third successive session, trading around 0.9090 during the Asian hours on Tuesday. The US Dollar edges higher against the Swiss Franc (CHF) due to cautious statements from Federal Reserve (Fed) officials, emphasizing the importance of maintaining higher rates for longer given the elevated inflation. Fed Vice Chair Philip Jefferson reiterated this stance on Monday, advocating for keeping current interest rates until signs of inflation easing emerge.
CRUDE OIL
Oil prices rose on Tuesday as the supply-demand balance looked set to tighten on operational disruptions, stronger demand and voluntary output cuts.
Gold price rebounds despite the consolidation of the US Dollar on Tuesday. The upside of yellow metal might be limited as traders might wait on the sidelines ahead of key US inflation data this week.
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