EUR/USD
EUR/USD halts its five-day losing streak, trading around 1.1490 during the Asian hours on Wednesday. The currency cross inches higher as the Euro (EUR) receives support as traders expect the European Central Bank (ECB) to adopt a cautious stance in its upcoming policy meeting.
GBP/USD
The GBP/USD pair posts modest gains near 1.3025 during the early European session on Wednesday, bolstered by a softer US Dollar (USD). However, the potential upside for the major pair might be limited, as UK Finance Minister Rachel Reeves hinted at broad tax rises in her budget later this month. The US October private payroll and ISM Services Purchasing Managers Index (PMI) reports will be published later on Wednesday.
USD/JPY
USD/JPY extends its losses for the second consecutive day, trading around 153.50 during the Asian hours on Wednesday. The pair depreciates as the Japanese Yen (JPY) gains ground amid increased safe-haven demand, driven by a global selloff in risk assets.
AUD/USD
The dollar holds firm in early trade as investors reassess expectations for a December Fed rate cut. Following Chair Powell’s cautious tone last week and subsequent FOMC remarks, markets have scaled back rate-cut bets — now pricing in roughly 16 basis points of easing compared to 23 bps a week ago. That subtle but significant shift has lent the greenback near-term strength across the board.
NZD/USD
The NZD/USD pair tumbles to near 0.5640, the lowest since April 10, during the early Asian session on Wednesday. The New Zealand Dollar (NZD) weakens against the US Dollar (USD) after New Zealand’s jobless rate rose to the highest in nine years in the third quarter (Q3). Traders await the ADP Employment Change and the US ISM Services Purchasing Managers Index (PMI) reports, which will be released on Wednesday.
USD/CAD
USD/CAD continues its winning streak for the fifth consecutive day, trading around 1.4110 during the Asian hours on Wednesday. The pair gains ground as the commodity-linked Canadian Dollar (CAD) faces challenges amid weakening Oil prices. It is important to note that Canada is the largest crude exporter to the United States (US).
USD/CHF
The Swiss Franc (CHF) declines further against the US Dollar (USD) on Tuesday, with USD/CHF extending gains for the fifth consecutive day amid broad-based Greenback strength. At the time of writing, the pair is trading around 0.8085, after briefly testing the 0.8100 psychological mark, its highest level since August 22.
CRUDE OIL
Oil prices dipped on Wednesday amid a wider slump in financial markets and a strong U.S. dollar, while investors assessed the supply outlook.
Gold price (XAU/USD) edges higher above $3,950 during the early European trading hours on Wednesday. Fears of economic risks stemming from the ongoing US government shutdown, along with geopolitical risks and uncertainties, could boost the safe-haven flows, supporting the Gold price. The US government shutdown is poised to become the longest ever this week as the impasse between Democrats and Republicans has dragged into a new month.
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