Pre Loader

08.01.2024 Market Report


The EUR/USD pair loses ground around 1.0935 during the early European session on Monday. The downtick of the major pair is backed by a stronger US Dollar and higher US Treasury bond yields. The US labor data on Friday cast doubt on the Federal Reserve’s rate cut expectation.


GBP/USD halts its three-day winning streak, trading around 1.2700 psychological level during the early European hours on Monday. The GBP/USD pair seems to face a critical juncture, with the possibility of a break below the psychological level. 


The USD/JPY spiked to a near-term high at the 146.00 handle early Friday in the broad-market run-up to the US Nonfarm Payrolls release, which surged above market forecasts and sent the US Dollar (USD) back down against the Japanese Yen (JPY) as markets weighed odds of Federal Reserve (Fed) rate cuts in the face of a still-firm US labor market.


The AUD/USD pair trades on a softer note above the 0.6700 mark during the early Asian session on Monday. The recovery of the US Dollar (USD) from its late December low drags the AUD/USD lower. Investors await the US Consumer Price Index (CPI) this week for fresh impetus. This figure could trigger the volatility of the pair in the near term. The pair currently trades near 0.6712, down 0.03% on the day.


The NZD/USD pair gains traction during the early Asian session on Monday. The uptick of the pair is bolstered by the softer US Dollar (USD) across the broad. The US inflation data, as measured by the Consumer Price Index (CPI) on Thursday, might offer hints about additional evidence of price pressures. At press time, NZD/USD is trading at 0.6256, gaining 0.19% on the day.


The USD/CAD pair ticks higher during the Asian session on the first day of a new week, albeit lacks follow-through buying and remains confined in Friday’s broader trading range. Spot prices currently trade just above mid-1.3300s and seem poised to prolong the recent goodish recovery move from a five-month low touched in December.


The USD/CHF pair gains momentum during the early European trading hours on Monday. The recovery of the US Dollar (USD) and higher US Treasury bond yields lend some support to the pair. USD/CHF currently trades near 0.8515, up 0.13% on the day.


The oil market witnessed a decline as Saudi Arabia, the world’s largest oil exporter, reduced its official selling prices across all regions. This move by state-owned Saudi Aramco, which notably slashed the price of its Arab Light crude to Asia by $2 a barrel, indicates a response to global crude market weaknesses. 


Gold price staged a goodish intraday recovery of around $40 from over a two-week low touched in the aftermath of the better-than-expected monthly employment details on Friday, albeit lacked any follow-through. The momentum ran out of steam near the $2,064 region amid the uncertainty about the Fed’s rate-cut trajectory.

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.