The EUR/USD pair has turned sideways after a firmer rally near 1.0820 in the Asian session. The major currency pair is struggling in extending its upside, however, more gains seem likely amid improved market sentiment.
GBP/USD has scaled above the critical resistance of 1.2300 amid a cheerful market mood. The USD Index is likely to attract more offers in hopes that the Fed will keep interest rates steady. The Cable resumed its upside after a bullish hidden divergence.
USD/JPY pays little heed to Bank of Japan (BoJ) Governor Haruhiko Kuroda’s defense of easy-money policies as the Yen pair renews its intraday low near 130.50 while reversing the week-start gains during early Tuesday day. In doing so, the quote traces the recently downbeat US Treasury bond yields and the US Dollar amid cautious optimism in the market.
AUD/USD has displayed a sheer upside after climbing above the critical resistance of 0.6660 in the Asian session. The Aussie asset is now marching towards the round-level resistance of 0.6700 as the US Dollar index (DXY) is going through turbulent times. The USD Index has extended its correction to near 102.60 amid rising efforts by United States authorities to restore the confidence of households that their deposits are safe in mid-size banks. The US Dollar Index is likely to continue its downside momentum further amid the absence of recovery signals near 102.60.
The New Zealand dollar struggled last week as bank stress impacted risk appetites. However, on Monday, the risk-sensitive currency found some support following the Silicon Valley Bank (SVB) deal and the Federal Deposit Insurance Corporation’s (FDIC) confirmation that First Citizens bank would assume all deposits and loans of Silicon Valley Bridge Bank from the FDIC.
USD/CAD bears keep controls around 1.3640-35 heading into Tuesday’s European session, positing 0.17% intraday losses during a two-day downtrend. In doing so, the Loonie pair fails to justify the latest pause in the WTI Crude Oil price, as well as the US Dollar’s broad weakness.
The USD/CHF pair looks vulnerable above the immediate cushion of 0.9150 in the Asian session. The Swiss franc asset is expected to break down the aforementioned support as odds for an unchanged monetary policy by the Federal Reserve (Fed) are advancing.
Oil prices fell slightly in early Asian trade on Tuesday after rallying in the prior session, as markets weighed the prospect of tighter near-term supply against growing political disruptions in parts of Europe.
Gold price is making a minor comeback after two back-to-back days of heavy declines. Gold price is finding support from a broad-based United States Dollar (USD) decline and a retreat in the US Treasury bond yields early Tuesday.
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