EUR/USD
The EUR/USD pair posts modest gains to around 1.0450 during the Asian trading hours on Wednesday, bolstered by the weakening of the US Dollar. However, tariff concerns and tense Russia-Ukraine negotiations might boost the Greenback and cap the upside for the major pair.
GBP/USD
GBP/USD remains firm after losses in the previous session, trading around 1.2610 during the Asian session on Wednesday. Traders await the release of January’s Consumer Price Index data from the United Kingdom.
USD/JPY
The Japanese Yen (JPY) builds on steady intraday ascent heading into the European session on Wednesday, which, along with the emergence of fresh US Dollar (USD) selling, drags the USD/JPY pair to the 151.70-151.65 area in the last hour. Investors now seem convinced that the Bank of Japan (BoJ) will hike interest rates further amid signs of broadening inflation in Japan, which continues to underpin the JPY.
AUD/USD
The Australian Dollar (AUD) recovers its daily losses against the US Dollar (USD) on Wednesday. However, the AUD/USD pair faced challenges amid rising risk aversion following new tariff threats from US President Donald Trump. Investors brace for the Federal Open Market Committee (FOMC) Meeting Minutes, which will be released later in the North American session.
NZD/USD
The NZD/USD pair trades near 0.5710 during Asian hours on Wednesday. However, the pair faced challenges following the Reserve Bank of New Zealand’s (RBNZ) decision to lower the Official Cash Rate (OCR) by 50 basis points (bps) from 4.25% to 3.75%.
USD/CAD
The USD/CAD pair gives up its recent gains from the previous session, trading near 1.4180 during Asian hours on Wednesday. Technical analysis on the daily chart suggests a falling wedge pattern, a bullish formation that suggests a potential breakout to the upside.
USD/CHF
The USD/CHF pair softens to near 0.9030 during the early European session on Wednesday. Tension-filled negotiations on the Russia-Ukraine conflict boost the safe-haven flows, benefiting the Swiss Franc (CHF). Traders will take more cues from the FOMC Minutes, which will be published later on Wednesday.
CRUDE OIL
Oil prices edged up on Wednesday amid worries of oil supply disruptions in the U.S. and Russia, and as markets awaited clarity on the Ukraine peace talks.
Gold price drifts lower as bulls opt to lighten their bets ahead of the FOMC minutes release. Concerns about Trump’s tariff plans and trade war fears lend support to the commodity. Fed rate cut bets undermine the USD and further act as a tailwind for the XAU/USD pair.
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.
