EUR/USD
EUR/USD is keeping its range play intact above 1.0800 in the European session on Wednesday. The Euro remains vulnerable ahead of key growth and inflation data from Germany and the Eurozone, which could ramp up ECB interest-rate cut expectations.
GBP/USD
GBP/USD is on a cautious footing at around 1.3000 in European trading on Wednesday. Traders refrain from placing fresh bets on the pair ahead of the UK’s Autumn Budget and the US ADP jobs data and the Q3 advance GDP report due later on Wednesday.
USD/JPY
The Japanese Yen (JPY) continues with its struggle to register any meaningful recovery against its American counterpart and remains within striking distance of a three-month low touched this week. Speculations that the loss of a parliamentary majority for Japan’s ruling coalition could make it difficult for the Bank of Japan (BoJ) to tighten its monetary policy further. Adding to this, a generally positive risk tone is seen as a key factor undermining demand for the safe-haven JPY.
AUD/USD
The Australian Dollar (AUD) extends its losing streak against the US Dollar (USD) for the fourth successive day, following lower-than-expected Australia’s third-quarter Consumer Price Index (CPI) data released on Wednesday. However, the downside of the AUD could be restrained due to the hawkish sentiment surrounding the Reserve Bank of Australia’s (RBA) regarding its policy outlook.
NZD/USD
The NZD/USD pair remains on the defensive near 0.5970 during the Asian trading hours on Wednesday. The dovish stance of the Reserve Bank of New Zealand (RBNZ) continues to weigh on the pair. Investors will take more cues from the advanced US Gross Domestic Product (GDP) for the third quarter and the US ADP Employment Change for October on Wednesday.
USD/CAD
The USD/CAD pair trades near its highest level since August 5, around the 1.3920-1.3925 region during the Asian session on Wednesday and seems poised to prolong its recent upward trajectory witnessed over the past month or so. A combination of factors might continue to weigh on the Canadian Dollar (CAD), which, along with the emergence of some US Dollar (USD) dip-buying, validate the near-term positive outlook for the currency pair.
USD/CHF
USD/CHF steadies with a bias of extending gains for the second consecutive day amid higher US Dollar (USD) and improved Treasury yields. The pair trades around 0.8670 during the Asian hours on Wednesday. The US Q3 Gross Domestic Product (GDP) figures and October’s ADP Employment Change are set to be released later in the North American session.
CRUDE OIL
Oil prices held at more than one-month lows, after sliding in the previous two sessions, as markets weighed a potential ceasefire between Israel and Hezbollah and rising OPEC+ crude supplies against a possible drop in U.S. fuel stocks.
Gold price continues scaling higher heading into the European session on Wednesday and climbs to a fresh all-time high, beyond the $2,785 level in the last hour. Against the backdrop of persistent geopolitical risks stemming from the ongoing conflicts in the Middle East, the uncertainty surrounding the US presidential election turns out to be a key factor benefiting the precious metal.
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