JPY strengthened against the USD, pushing USD/JPY near 145.00, driven by strong inflation data and BoJ rate hike expectations. Japan's strong Q2 GDP growth added support. However, USD gains may be limited by expectations of a Fed rate cut in September.
Gold prices remain above $2,500, near record highs, as investors await the Federal Open Market Committee minutes for confirmation of a potential Fed rate cut in September. The Fed's dovish shift, prioritizing employment over inflation, has weakened the US Dollar, boosting gold. A recent revision showing the US created 818,000 fewer jobs than initially reported also strengthens the case for a rate cut.
USD/JPY holds near 145.50, recovering from 144.95 lows. The Yen strengthens on strong GDP, boosting rate hike expectations for the Bank of Japan. However, gains may be limited by potential US Fed rate cuts in September.
Gold prices remain near record highs, driven by expectations of a US interest rate cut and a weakening US Dollar. Investors are focusing on the upcoming Jackson Hole Symposium, where Fed Chair Jerome Powell's speech will be closely watched for clues on the Fed's stance. Additionally, the release of US manufacturing data (PMIs) is expected to influence gold's direction.
JPY is strengthening against USD after Japan's strong GDP growth raised prospects of a Bank of Japan rate hike. The USD/JPY pair, initially boosted by a strong USD and higher Treasury yields, is now pressured by uncertainty over a potential US rate cut, with traders debating between a 25 or 50 basis point reduction.
The yen weakens further as Fed Chair Powell's cautious remarks influence market sentiment. USD/JPY remains around 161, with resistance at 162, driven by Powell's comments and upcoming US CPI data. June's lower-than-expected PPI in Japan adds pressure on the yen. The sentiment is bullish for USD/JPY, supported by strong US economic indicators. Key influences include Federal Reserve signals, US economic data, and Japan's PPI. Potential movement for USD/JPY could see it testing 162 resistance.
Euro traders may get jittery if Prime Minister Guiseppe Contes address to the Italian Senate revives fears of political uncertainty and the prospect of a snap election.
The Canadian Dollar may be getting ready to reverse against the US Dollar after increasingly bearish USD/CAD technical signals. Ahead, the Yen may weaken as AUD and NZD gain.
The AUD/USD, AUD/JPY may reach 2009 lows as US President Donald Trump gave the green light for more tariffs against China. Retaliation may sink the Australian Dollar as the Yen gains.
The New Zealand Dollar fell against most of its major counterparts after local confidence data undershot forecasts and spooked markets – NZD is now eyeing FOMC rate decision ahead.
EUR/JPY is poised to mark an outside-day reversal off key weekly support on the back of the ECB today. Here are the levels that matter on the EUR/JPY weekly chart.
The Japanese Yen may weaken as markets digest US-China restarting trade talks after the G20 Summit. Will this offset crude oil price declines as EU cooled Iran supply disruption fears?
The AUDUSD post-Fed rally could be shot down by RBA Governor Philip Lowe who may underscore rate cut bets. Meanwhile, the anti-risk Japanese Yen may sink as the Nikkei 225 rallies.
The NZDUSD and AUDUSD are tumbling to support as increasingly dovish RBNZ and RBA monetary policy bets are undermining their appeal, boosting the Japanese Yen as carry trades unwind.
The GBP/USD downtrend eyes November lows on a more uncertain Brexit outlook. Reports that US-China trade talks stalled may boost the anti-risk Japanese Yen as the Nikkei 225 falters.
The GBP/JPY downtrend may accelerate with key support taken out under 143.79 on Brexit talks, US-China trade deal in focus. Sentiment warns bearish USD/JPY contrarian trading bias.
The US Dollar fell on mixed GDP data, crude oil prices dropped to uptrend support as Trump pressured OPEC to lower prices. Japanese markets are offline, offering less liquid conditions.
With the Bank of Japan interest rate decision slated for Thursday's session, forex traders could experience increased price action in JPY currency crosses.
The escalation of Indian-Pakistani tensions could worsen and potentially destabilize the region, dampening global sentiment during a time when risk aversion appears to be the
Risk was back on with a vengeance Monday morning with growth linked currencies gaining on news that a feared step-up in the US/China trade spat