EUR/USD
The EUR/USD pair holds onto Friday’s gains slightly above 1.1700 during the early European trading session on Monday. The major currency pair demonstrates strength as the US Dollar has come under pressure, following comments from Federal Reserve Chair Jerome Powell that the central bank has opened the door for interest rate cuts amid growing labor market concerns.
GBP/USD
The GBP/USD pair faces some selling pressure around 1.3495 during the Asian session on Monday. The major pair edges lower amid the renewed US Dollar demand. However, dovish remarks from the Federal Reserve Chair Jerome Powell might cap the GBP/USD’s downside. Later on Monday, the US New Home Sales and Chicago Fed National Activity Index data will be published.
USD/JPY
USD/JPY appreciates after registering around 1% losses in the previous session, trading around 147.40 during the Asian hours on Monday. However, the upside of the pair could be limited as the Japanese Yen (JPY) may regain ground after hawkish comments from the Bank of Japan (BoJ) Governor Kazuo Ueda at the Jackson Hole symposium on Saturday.
AUD/USD
The Australian Dollar (AUD) moves little against the US Dollar (USD) on Monday after registering more than 1% gains in the previous session. The AUD/USD pair gained ground as the US Dollar depreciated amid the rising likelihood of a Federal Reserve (Fed) interest rate cut in September.
NZD/USD
NZD/USD edged lower after registering gains in the previous session, trading around 0.5860 during the Asian hours on Monday. The pair holds losses following stronger Retail Sales data for the second quarter.
USD/CAD
The USD/CAD pair struggles for a firm-footing during the Asian session on Monday after sliding almost 0.8% to near 1.3820 on Friday. The Loonie pair stays under pressure as comments from Federal Reserve (Fed) Chair Jerome Powell in his speech at the Jackson Hole (JH) Symposium on Friday signaled that he is open to unwinding monetary policy restrictiveness, citing downside employment risks.
USD/CHF
The Swiss Franc (CHF) surges against the US Dollar (USD) on Friday after Federal Reserve (Fed) Chair Jerome Powell’s remarks at the Jackson Hole Symposium triggered a broad-based Greenback selloff. At the time of writing, USD/CHF is trading near 0.8003, down almost 1% on the day after briefly touching 0.8104, its highest level in nearly two weeks, before reversing to its lowest in around three and a half weeks.
CRUDE OIL
Oil prices edged higher on Monday after Ukraine stepped up attacks on Russia, fanning concerns Russian oil supply could be disrupted, while expectations of a cut in U.S. interest rates buoyed the outlook for global growth and fuel demand.
Gold price edges lower to around $3,350 during the early European session on Monday, pressured by a stronger US Dollar. Nonetheless, rising optimism of a September rate cut following comments by Federal Reserve Chair Jerome Powell at the Jackson Hole symposium might cap the downside for the yellow metal.
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