EUR/USD
The EUR/USD pair softens to around 1.1480 during the early Asian session on Monday. The Greenback edges higher against the Euro (EUR) as US President Donald Trump’s decision to join Israel’s war against Iran sharply escalates the conflict. Traders will closely monitor the developments surrounding the Middle East conflict.
GBP/USD
The GBP/USD pair extends the decline to around 1.3405 during the Asian trading hours on Monday. The fears that Iran would retaliate against US attacks on its nuclear sites boost the safe-haven flows, supporting the US Dollar (USD). Investors await the preliminary reading of the Purchasing Managers Index (PMI) for June from the UK and the US, which are due later on Monday.
USD/JPY
USD/JPY is jumping toward 147.00 in Monday’s Asian session as the US’ bombing of Iranian nuclear facilities drives some safe-haven flows into the US Dollar, helping the pair. The divergent BoJ-Fed policy expectations could cap the pair’s upside.
AUD/USD
AUD/USD remains under moderate selling pressure in the Asian session on Monday. The US Dollar capitalizes on haven demand amid the rising tensions in the Middle East after the US attacked Iran over the weekend. The risk-off mood also hurts the higher-yielding Aussie Dollar.
NZD/USD
The NZD/USD pair opens with a modest bearish gap at the start of a new week and moves further away from the year-to-date peak, around the 0.6100 neighborhood touched last Monday. Spot prices drop to a fresh monthly low, around the 0.5930 region during the Asian session, and seem vulnerable to slide further amid the anti-risk flow.
USD/CAD
The USD/CAD pair opens with a modest bullish gap at the start of a new week and touches a fresh monthly high, levels beyond mid-1.3700s during the Asian session. Spot prices, however, lack bullish conviction amid a combination of diverging forces, warranting caution before positioning for an extension of last week’s goodish recovery from the year-to-date low.
USD/CHF
USD/CHF edges lower after registering gains in the previous session, trading around 0.8170 during the Asian hours on Monday. The pair depreciates as the Swiss Franc (CHF) receives support from the increased safe-haven demand, driven by the United States (US) attacks on three Iranian nuclear facilities over the weekend.
CRUDE OIL
Oil prices jumped on Monday to their highest since January as the United States’ weekend move to join Israel in attacking Iran’s nuclear facilities stoked supply concerns.
Gold price has come under moderate selling pressure and reverts toward $3,350 early Monday, having faced rejection just shy of the $3,400 threshold. In doing so, Gold price filled in the bullish opening gap of about $25, led by the market’s reaction to the weekend news of the US military involvement in the Israel-Iran conflict.
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