EUR/USD
EUR/USD remains sidelined in the European morning on Friday, awaiting the Euro area business PMIs for fresh impetus. The divergent ECB-Fed policy outlooks stay supportive of the Euro while the US Dollar consolidates losses ahead of US PMI data.
GBP/USD
GBP/USD is paring back gains to trade modestly flat near 1.2750 in early Europe on Friday. The pair is holding its weekly gains, supported by a hawkish BoE outlook and a dovish Fed pivot. Focus shifts toward the preliminary UK/ US PMIs.
USD/JPY
The USD/JPY edges down following Wednesday’s Federal Reserve’s (Fed) decision, which sent US Treasury yields plummeting alongside the Greenback. Fed’s adopting a dovish stance is the main reason for the pair to print losses of 0.68%, as it trades at around 141.89.
AUD/USD
The AUD/USD pair hovers around 0.6700 during the early Asian session on Friday. The pair trades in positive territory for the third consecutive day as the US Dollar loses momentum. That being said, the dovish remarks from the Federal Reserve (Fed) after the Fed monetary policy meeting exert some selling pressure on the USD and create a tailwind for the AUD/USD. At press time, the pair is trading at 0.6698, down 0.04% on the day.
NZD/USD
The NZD/USD pair snaps the four-day winning streak during the early Asian session on Friday. The weaker-than-expected New Zealand GDP growth numbers weigh on the Kiwi and create a headwind to the NZD/USD pair. The pair currently trades near 0.6198, losing 0.21% on the day. The Federal Reserve (Fed) decided to keep rates unchanged again at 5.25%–5.50% on Wednesday. During the press conference, Fed Chair Jerome Powell said that there was a lot of uncertainty and the central bank needed to see further progress. Powell added that they do not want to rule out the possibility of further hikes, even though Fed policymakers projected at least three rate cuts next year.
USD/CAD
USD/CAD extends its losses on the third successive day, trading lower around 1.3390 during the Asian session on Friday. The USD/CAD pair faces challenges on the subdued US Dollar, which could be attributed to the lowered US Treasury yields.
USD/CHF
USD/CHF moves on a downward trajectory for the fifth successive day, trading around 0.8661 during the Asian session on Friday. On Thursday, the USD/CHF pair recovered some intraday losses after dropping to a five-month low at 0.8630. The Swiss National Bank (SNB) has chosen to maintain the key policy rate at 1.75% on Thursday, citing a noticeable downward trend in domestic inflation.
CRUDE OIL
Oil prices rose slightly in Asian trade on Friday, and were set to snap a seven-week losing spree on optimism over interest rate cuts by the Federal Reserve and a positive outlook on demand from the International Energy Agency.
GOLD
Gold price is seen consolidating its weekly gains registered over the past two days. Rebounding US bond yields and a positive risk tone act as a headwind for the metal. The Fed’s dovish tilt, along with sustained USD selling, continue to lend support.
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.
