EUR/USD
EUR/USD is falling back toward 1.1050 in the early European morning on Monday. Renewed US Dollar buying amid a cautious market mood fuels a fresh leg down in the pair. A potential ECB rate cut this week could also keep the pair on the back foot. EU Sentix data eyed.
GBP/USD
GBP/USD has come under renewed selling pressure, approaching 1.3100 in European trading on Monday. The pair is weighed down by resurgent demand for the US Dollar, as traders stay cautious due to US slowdown concerns and ahead of the key inflation data later this week.
USD/JPY
USD/JPY halts its four-day losing streak, trading around 142.90 during the Asian session on Monday. The USD/JPY pair’s recovery can be partly attributed to lower-than-expected Gross Domestic Product (GDP) data from Japan. However, robust economic growth, rising wages, and persistent inflationary pressures continue to support expectations that the Bank of Japan (BoJ) may further raise interest rates, which could limit the downside for the Japanese Yen (JPY).
AUD/USD
The Australian Dollar (AUD) offers its intraday gains against the US Dollar (USD) on Monday. However, the AUD/USD pair received support from the hawkish sentiment surrounding the Reserve Bank of Australia (RBA). The RBA Governor Michele Bullock stated last week that it is too early to consider rate cuts. The board does not anticipate being able to reduce rates in the near term.
NZD/USD
The NZD/USD pair fails to capitalize on a modest Asian session uptick and currently trades around the 0.6175-0.6170 region, just above the two-week low set on Friday.
USD/CAD
The USD/CAD pair struggles to capitalize on Friday’s strong intraday rally of over 100 pips and trades with a mild negative bias around mid-1.3500s during the Asian session on Monday. The downtick is sponsored by a modest rise in Crude Oil prices, though a combination of factors should help limit deeper losses.
USD/CHF
On Friday, the USD/CHF fell to a daily low of 0.8375 and then recovered back above 0.8400. The upside, however, is limited as the US reported weak labor market figures.
CRUDE OIL
Oil futures jumped by a dollar in early trading on Monday as a potential hurricane system approached the U.S. Gulf Coast, and as markets recovered from a selloff following weaker-than-expected U.S. jobs data on Friday.
Gold price is trading on the front foot just shy of the $2,500 threshold early Monday, consolidating Friday’s late rebound. Gold price sticks to its familiar range, as traders brace for the US Consumer Price Index data due later this week to confirm the size of the Federal Reserve interest rate cut next week.
Any information provided therein are indicative and subjective to the technical analysis method or trading patterns used and the timing of their release. Those are provided as general market information and/or market commentary and/or the publication of market/factual data and should not be construed as containing personal and/or other investment recommendation, and/or to be Investment Advice or independent Investment Research. As such, the legal and regulatory requirements in relation to independent investment research do not apply to this material and it is not subject to any prohibition on dealing ahead of its dissemination. For the full Risk Disclaimer click here.
