EUR/USD
EUR/USD stuck to its middling ways on Wednesday, remaining entrenched near the 1.1300 handle after the Federal Reserve’s (Fed) latest rate call went about as well as traders expected, albeit with a fresh batch of “wait-and-see” warnings from Fed Chair Jerome Powell. The economic calendar on the European side remains strictly mid-tier this week, leaving Fiber traders to sit and chew on a Fed that is turning increasingly cautious.
GBP/USD
GBP/USD fell back on Wednesday, shedding six-tenths of one percent as markets kept one foot firmly planted in the safe haven Greenback. The Federal Reserve (Fed) kept rates on hold, as markets broadly expected, but Fed policymakers remaining firmly stuck in a “wait-and-see” approach hampered risk appetite during the midweek market session. The Bank of England (BoE) is up next with its own rate call later today, and is widely expected to deliver another quarter-point rate trim.
USD/JPY
USD/JPY is falling back toward 143.50 in Asian trading on Thursday amid a broadly weaker US Dollar demand, despite the Fed’s hawkish pause. Persistent trade-related uncertainties and geopolitical risks underpin the Japanese Yen, weigihng on the pair as traders digest BoJ Governor Ueda’s comments.
AUD/USD
AUD/USD rebounds above 0.6450 early Thursday as the US Dollar struggles to capitalize on hawkish Fed-inspired gains aimd uncertain economic outlook. Furthermore, a generally positive risk tone due to China rate cut lends some support to the Aussie. US-China trade updates eyed.
NZD/USD
New Zealand’s Prime Minister Christopher Luxon crossed the wires in the last hour, saying that the sharp deterioration of financial markets in early April has somewhat recovered, but markets remain volatile.
USD/CAD
The USD/CAD pair fails to capitalize on the pervious day’s modest recovery move from the vicinity of the year-to-date low and meets with a fresh supply during the Asian session on Thursday. Spot prices, however, remain confined in a multi-week-old range and currently trade around the 1.3815 region, down 0.15% for the day.
USD/CHF
USD/CHF consolidates on Wednesday, registering a daily close with gains of over 0.21%. The pair witnessed a drop from around 0.8847 to 0.8038, the yearly low in eleven days. However, it has recovered after Swiss Consumer Price Index (CPI) data continued to remain soft, paving the way for another rate cut by the Swiss National Bank (SNB).
CRUDE OIL
Oil prices rose in Asian trade on Thursday after U.S. President Donald Trump said he will announce a trade deal with a major economy later in the day, pushing up hopes for a deescalation in his tariff agenda.
Gold price regains positive traction as trade-related uncertainties boost safe-haven assets. The USD struggles to lure buyers despite the Fed’s hawkish pause. Bulls seem unaffected by a positive risk tone, which tends to undermine the XAU/USD pair.
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