EUR/USD
The EUR/USD pair attracts some buyers to around 1.1370 during the early European session on Monday. The US Dollar weakens against the Euro amid the renewed trade war tensions. US President Donald Trump said on Friday that he planned to double import tariffs on steel and aluminum.
GBP/USD
GBP/USD looks to build on intraday strength beyond the 1.3500 mark as Fed rate hike bets and US fiscal concerns prompt fresh USD selling. Also, speculations that the BoE would pause at its next meeting in June before lowering borrowing costs further, contribute to the British Pound’s relative outperformance during the early European session.
USD/JPY
USD/JPY recovers from weekly lows to regain 143.00 in Tuesday’s Asian session low amid a modest US Dollar uptick from six-week troughs against its major rivals. Meanwhile, the Japanese Yen found fresh sellers after BoJ Governor Ueda’s comments on interest rates outlook. The focus is now on the US data and Fedspeak.
AUD/USD
AUD/USD is meeting fresh supply toward 0.6450 in the Asian session on Tuesday as traders digest the RBA Minutes and the unexpected contraction in China’s May Caixin Manufacturing PMI. Additionally, a modest US Dollar rebound keeps the pair undermined.
NZD/USD
NZD/USD pulls back from an eight-month high of 0.6055, trading around 0.6010 during the Asian hours on Tuesday. The pair depreciates as the New Zealand Dollar (NZD) struggles, possibly due to softer-than-expected Terms of Trade Index data, which increased 1.9% quarter-on-quarter in the first quarter, down from a 3.1% increase in the previous quarter and below market forecasts for a similar 3.1% rise. Export prices rose 7.1%, the largest rise in three years, while import prices climbed 5.1%, the biggest increase in 10 quarters.
USD/CAD
The USD/CAD pair remains on the defensive near 1.3715 during the early Asian session on Tuesday. The US Dollar Index (DXY) softens to fresh seven-week lows amid jitters over the health of the US economy. The JOLTs Job Openings will be published later on Tuesday.
USD/CHF
USD/CHF extended its losses during Monday’s North American session, down 0.60% as the Greenback weakened across the board. An earlier risk-off impulse, which surprisingly shifted positively, weighs on the US Dollar (USD), which did not capitalize on its status as the ‘sell America’ trade continues to gain steam in the financial markets. The pair trades below 0.8200 after hitting a six-week low of 0.8155.
CRUDE OIL
Oil prices rose in Asian trade on Tuesday, extending sharp gains from the prior session as uncertainty over a U.S.-Iran nuclear deal and worsening tensions between Ukraine and Russia heralded more potential supply disruptions.
Gold price retreats slightly from a nearly four-week high of $3,392 reached during the Asian session on Tuesday, although any meaningful corrective decline seems elusive. Mounting geopolitical and trade tensions might continue to underpin the safe-haven bullion. Moreover, Fed rate cut bets should cap any attempted US Dollar recovery.
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