EUR/USD
EUR/USD defends gains below 1.0900 in the European session on Monday. The US Dollar weakens, as risk sentiment improves, supporting the pair. The focus remains on the US political updates and mid-tier US data for fresh trading impetus.
GBP/USD
The Pound Sterling (GBP) fails to extend a slight recovery above the immediate resistance of 1.2930 against the US Dollar (USD) in Monday’s European session. The near-term outlook of the GBP/USD pair has become uncertain after a corrective move from an annual high of 1.3044 recorded last Wednesday. The Cable faced selling pressure as improved speculation for Donald Trump winning United States (US) presidential elections this year prompted the US Dollar’s appeal.
USD/JPY
USD/JPY has come under intense selling pressure below 157.00 early Friday. The Japanese Yen picks up bids even as risk flows return in European trading, maintaining the US Dollar weakness-driven downside in the pair. The pair awaits fresh catalysts.
AUD/USD
The Australian Dollar (AUD) loses ground for the sixth successive session due to increased risk-off mood on Monday. The AUD could limit its downside as robust employment data indicate tight labor market conditions and raise concerns about a potential interest rate hike from the Reserve Bank of Australia (RBA). Investors look forward to Australian manufacturing and services PMI figures this week to gauge the health of the economy.
NZD/USD
The NZD/USD pair attracts fresh sellers following an Asian session uptick to the 0.6025-0.6030 region and turns lower for the third successive day on Monday. This also marks the fifth day of a negative move in the previous six and drags spot prices to the lowest level since May 14 in the last hour, with bears now awaiting acceptance below the 0.6000 psychological mark before positioning for further losses.
USD/CAD
The USD/CAD pair attracts some dip-buying following an Asian session uptick to the 1.3700 neighborhood, albeit lacks follow-through and remains below a nearly three-week low touched on Friday. Spot prices currently trade around the 1.3725-1.3730 region – unchanged for the day – and the directionless intraday price move is sponsored by a combination of diverging forces.
USD/CHF
USD/CHF gains ground for the third successive day, trading around 0.8880 during the European session on Monday. The USD/CHF pair has rebounded from a four-month low at 0.8820 recorded on Thursday. This upside of the pair can be attributed to the strengthening of the US Dollar amid increased risk aversion.
CRUDE OIL
Oil prices rose in Asia on Monday as investors watched for further signs that the U.S. might start to cut interest rates as soon as September.
Gold price is attempting a bounce from $2,400, having snapped a three-day corrective decline from record highs of $2,484. Gold price capitalizes on a broad-based US Dollar softness alongside sluggish US Treasury bond yields even as markets stay risk averse.
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