EUR/USD
The EUR/USD pair extends its losing streak for the fifth trading day on Thursday. The major currency pair slides to near an almost two-week low around 1.1500 during the European trading session. The weakness in the pair is mainly contributed by the strength in the US Dollar (USD), which outperforms its peers amid receding expectations of an interest rate cut by the Federal Reserve (Fed) in its upcoming monetary policy meeting in December.
GBP/USD
The GBP/USD pair trades with mild gains near 1.3060, snapping the four-day losing streak, during the early European session on Thursday. Markets might turn cautious later in the day ahead of the release of the delayed US September Nonfarm Payrolls (NFP) report.
USD/JPY
The Japanese Yen (JPY) remains on the back foot against a broadly firmer US Dollar (USD) and touches a fresh low since mid-February during the Asian session on Thursday. Concerns about Japan’s ailing fiscal position on the back of Prime Minister Sanae Takaichi’s new economic stimulus package continue to weigh on the JPY. Furthermore, data released earlier this week showed that Japan’s economy contracted in Q3 for the first time in six quarters, which could put additional pressure on the Bank of Japan (BoJ) to delay raising interest rates and contribute to the JPY’s underperformance.
AUD/USD
The Australian Dollar (AUD) holds ground against the US Dollar (USD) on Thursday following the People’s Bank of China (PBoC) interest rate decision. China’s central bank decided to leave its Loan Prime Rates (LPRs) unchanged in November. The one-year and five-year LPRs were at 3.00% and 3.50%, respectively. As China and Australia are close trading partners, China’s policy rates can affect the AUD.
NZD/USD
The NZD/USD pair recovers some lost ground around 0.5605 during the early European session on Thursday. The upside for the pair might be limited, as the imminent rate cut from the Reserve Bank of New Zealand (RBNZ) could weigh on the New Zealand (NZD) against the US Dollar (USD). The US September employment report will take center stage later on Thursday.
USD/CAD
USD/CAD remains stable after registering more than 0.5% gains in the previous session, hovering around 1.4060 during the Asian hours on Thursday. The pair may further appreciate as the US Dollar (USD) gains ground amid diminishing expectations for another Federal Reserve (Fed) rate cut in December following the latest Federal Open Market Committee (FOMC) Meeting Minutes. Traders await the release of the US September Nonfarm Payrolls (NFP) later on Thursday to gain fresh impetus on Fed policy outlook.
USD/CHF
The USD/CHF pair gains positive traction for the fifth consecutive day and climbs to a nearly two-week high during the Asian session on Thursday. Spot prices currently trade around the 0.8065-0.8070 region, up nearly 0.10% for the day, and seem poised to appreciate further amid the underlying bullish sentiment surrounding the US Dollar (USD).
CRUDE OIL
Oil prices edged up on Thursday after falling in the previous session as concerns a U.S. push to end the Russia-Ukraine war may add supply into an amply supplied market were offset by a bigger-than-expected draw in U.S. crude stockpiles.
Gold (XAU/USD) seesaws between tepid gains/minor losses during the Asian session on Thursday as traders opt to wait for the delayed US Nonfarm Payrolls (NFP) report before placing fresh directional bets. In the meantime, reduced bets for another rate cut by the US Federal Reserve (Fed) lifted the US Dollar (USD) to its highest level since late May and acts as a headwind for the non-yielding yellow metal.
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