EUR/USD
The EUR/USD pair gains ground near 1.1735 during the Asian trading hours on Thursday. The concern over the impact of the US government shutdown undermines the US Dollar against the Euro. The US weekly Initial Jobless Claims will not be published in light of the ongoing federal shutdown.
GBP/USD
GBP/USD extends its gains for the fifth consecutive day, trading around 1.3480 during the Asian hours on Thursday. The pair may further appreciate as the Pound Sterling receives support from the cautious remarks from the Bank of England (BoE) officials.
USD/JPY
The Japanese Yen (JPY) edges lower against its American counterpart during the Asian session on Thursday, though any further decline still seems elusive. Investors seem convinced that the Bank of Japan (BoJ) will stick to its policy normalization path and hike interest rates in October. This marks a significant divergence in comparison to bets that the US Federal Reserve (Fed) will lower borrowing costs two more times by the end of this year. The resultant narrowing of the US-Japan rate differential might continue to benefit the lower-yielding JPY.
AUD/USD
The Australian Dollar (AUD) maintains its position against the US Dollar (USD) on Thursday, following the release of Trade Balance data. Additionally, the AUD/USD pair moves little as traders adopt caution after the United States (US) government shutdown.
NZD/USD
The NZD/USD pair attracts some dip-buyers near the 0.5800 mark during the Asian session on Thursday and turns positive for the fifth consecutive day. Spot prices currently trade around the 0.5825-0.5830 region, just a few pips below the weekly high, and look to build on the recent recovery from the lowest level since April 10, touched last week, amid a bearish US Dollar (USD).
USD/CAD
USD/CAD holds ground for the third successive session, trading around 1.3940 during the Asian hours on Thursday. However, the pair may face challenges as the US Dollar (USD) struggles after the United States (US) government shutdown.
USD/CHF
The USD/CHF pair trades in a tight range around 0.7960 during the Asian trading session on Thursday. The Swiss Franc pair consolidates as investors await the Swiss Consumer Price Index (CPI) data for September, which will be published at 06:30 GMT.
CRUDE OIL
Oil prices rose on Thursday after losses in previous three sessions due to market oversupply concerns, as the potential for tighter sanctions on Russian crude lent some support.
Gold holds the previous retracement from record highs of $3,895 early Thursday while the US Dollar struggles with its overnight rebound amid US government shutdown concerns. Technically, Gold remains a ‘buy-the-dips’ trade, with the four-hourly RSI within the bullish zone.
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