EUR/USD
The EUR/USD pair loses momentum to around 1.1635 during the early European trading hours on Friday. Mixed signals surrounding the US-Iran peace deal remain the primary driver of volatility. Traders will keep an eye on the preliminary readings of Germany’s inflation later on Friday.
GBP/USD
GBP/USD holds ground after registering modest gains in the previous day, trading around 1.3450 during the Asian hours on Friday. The pair edges higher as safe-haven demand for the US Dollar (USD) fades following reports that the United States (US) and Iran have tentatively agreed to a 60-day ceasefire extension. This potential breakthrough could allow unrestricted shipping through the crucial Strait of Hormuz, with Iran reportedly committing to clear all maritime mines from the waterway within 30 days.
USD/JPY
The USD/JPY pair trades marginally higher to near 159.32 during the Asian trading session on Friday. The pair edges up as the Japanese Yen (JPY) trades cautiously, following the release of the Tokyo Consumer Price Index (CPI) data for May and verbal intervention warning from Japan’s Finance Minister (FM) Satsuki Katayama.
AUD/USD
The AUD/USD pair struggles to capitalize on the previous day’s goodish rebound from sub-0.7100 levels, or a one-week low, and oscillates in a range during the Asian session on Friday. Spot prices, however, hold above 0.7150 and seem poised to register modest gains for the first time in three weeks.
NZD/USD
The NZD/USD pair gathers strength to around 0.5955 during the early European session on Friday. The New Zealand Dollar (NZD) edges higher against the US Dollar (USD) amid hawkish signals from the Reserve Bank of New Zealand (RBNZ).
USD/CAD
The USD/CAD pair attracts some dip-buyers during the Asian session on Friday, stalling the previous day’s sharp retracement slide from the 1.3870 region, or the highest level since April 13. Spot prices, however, lack follow-through and remain below the 1.3800 mark, warranting caution before positioning for the resumption of the monthly uptrend amid mixed signals over a potential US-Iran peace deal.
USD/CHF
USD/CHF edges higher after registering modest losses in the previous day, trading around 0.7840 during the Asian hours on Friday. The pair caught in a tug-of-war between lingering geopolitical risks in the Middle East and stronger-than-expected economic data from Switzerland.
CRUDE OIL
Oil prices edged lower in Asian trading on Friday and were headed for weekly declines as investors weighed the prospects of a U.S.-Iran agreement and reports that both sides were close to extending a fragile ceasefire.
Gold (XAU/USD) attracts some buyers for the second straight day on Friday and moves further away from its lowest level since March 27, set the previous day. The precious metal holds above the $4,500 psychological mark heading into the European session, though it lacks follow-through as traders await further developments surrounding the US-Iran peace deal.
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