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Publish Date: Tue, 04 Jul 2023, 09:32 AM
USD/JPY continues with its struggle to make it through 145.00 and edges lower on Tuesday. Intervention fears lend some support to the JPY and seem to be a key factor exerting pressure. The Fed-BoJ policy divergence should lend support ahead of the FOMC minutes on Wednesday. (FXStreet)
The index hovers around the 103.00 region on Tuesday. US markets are closed due to the Independence Day holiday. Next salient event in the US docket will be the FOMC Minutes. The greenback, when tracked by the USD Index (DXY), navigates within a tight range in the wake of the opening bell in Euroland on turnaround Tuesday. (FXStreet)
USD/CAD takes offers to refresh intraday low as European session begins with firmer Oil price. Supply crunch fears, US Dollar’s failure to stay firmer keep WTI on the front foot. US Dollar Index fades late Monday’s rebound as market sentiment dwindles. Bank of Canada Business Outlook Survey, Canada S&P Global Manufacturing PMI for June will be crucial for intraday directions. (FXStreet)
EUR/JPY takes offers to print the first daily loss in three, stays near the highest levels since September 2008. Japan authorities keep showing readiness to defend Yen but haven’t acted of late. Recession woes, US-China jitters and downbeat EU/German PMIs are extra negatives for cross-currency pair. (FXStreet)
EUR/USD has dropped to near 1.0900 amid a cautious market mood. S&P earnings could be full of surprises as overall demand is strong in conjunction with higher interest rates by the Fed. US Manufacturing PMI has contracted straight for eight months. (FXStreet)
USD/CHF has fallen back from 0.8970 as the USD Index has retreated. S&P500 futures have posted nominal losses as investors have turned cautious amid the holiday in the US. An inflation figure below 2% would allow the SNB to pause the policy-tightening spell. (FXStreet)
AUD/USD has shown recovery as the focus has shifted to US labor market data. RBA decided to keep interest rates steady as inflation has decelerated sharply to 5.8%. The US Dollar Index has turned sideways around 103.00 as investors are awaiting the release of the US labor market data. (FXStreet)
NZD/USD scales higher for the third straight day and climbs to a one-week high on Tuesday. The uncertainty over the Fed’s rate-hike path undermines the USD and lends some support. The divergent Fed-RBNZ policy outlook to cap gains ahead of FOMC minutes on Wednesday. (FXStreet)
USD/TRY remains sidelined near all-time high, snaps three-day downtrend of late. Hopes of higher Turkish inflation leading to higher rates from CBRT tease Turkish Lira bears amid sluggish markets. Lack of strong rate hikes from CBRT failed to inspire Turkish Lira bulls amid broadly firmer US fundamentals. Hawkish signals from CBRT may trigger much-awaited pullback but the US holiday can limit the moves. (FXStreet)
AUD/NZD has displayed a vertical fall as RBA left interest rates unchanged. The recent decline in monthly CPI to 5.8% provided strength to RBA policymakers to maintain the status quo. NZ inflation is not showing signs of easing while the economic outlook has dampened extremely. (FXStreet)
WTI prices started the week on the back foot and returned to the $70.00 zone following an earlier move to the vicinity of $72.00. The daily pullback was accompanied by shrinking open interest and volume and leaves the door open to the resumption of the recovery in the very near term and with the immediate hurdle at the weekly highs near the $73.00 mark per barrel (June 21). (FXStreet)
Prices of natural gas retreated modestly on Monday on the back of increasing open interest. That said, further retracements appear on the cards in the very near term, while the resumption of the uptrend is expected to meet a tough barrier at the March top around the $3.00 mark per MMBtu (March 3). (FXStreet)
Prices of the troy ounce of gold extended the rebound from last week’s lows in the sub-$1900 region at the beginning of the week. The decent advance was on the back of rising open interest, which is indicative that further upside remains on the table for the time being. In the meantime, extra gains should meet temporary resistance at the 100-day SMA, today at $1945. (FXStreet)
Silver attracts some buyers for the third straight day, though remains below $23.00. The technical setup favours bullish traders and supports prospects for further gains. A convincing break below the $22.70-65 confluence will negate the positive outlook. (FXStreet)
Source: FXStreet
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