EUR/USD
EUR/USD ticks lower after three days of gains, trading around 1.1590 during the Asian hours on Friday. The pair loses ground as the US Dollar (USD) holds ground after three days of losses. However, the Greenback may face challenges amid growing expectations of a Federal Reserve (Fed) rate cut in December.
GBP/USD
GBP/USD continues its winning streak for the seventh successive session, trading around 1.3240 during the Asian hours on Friday. The pair strengthens as the US Dollar (USD) weakens amid growing expectations of a Federal Reserve (Fed) rate cut in December.
USD/JPY
The Japanese Yen (JPY) trades with a mild negative bias against the rebounding US Dollar (USD) during the Asian session on Friday, though any meaningful depreciation seems elusive. Investors remain worried about Japan’s deteriorating fiscal condition on the back of the government’s massive economic package, which led to the recent spike in the Japanese government bond (JGB) yields. Apart from this, the upbeat market mood, bolstered by the prospects for lower US interest rates and hopes for a Russia-Ukraine peace deal, turns out to be a key factor undermining the safe-haven JPY.
AUD/USD
The Australian Dollar (AUD) loses daily gains against the US Dollar (USD) on Friday, extending its gains for the sixth consecutive day. However, the AUD strengthened against major peers as hotter-than-expected inflation tempers expectations of the Reserve Bank of Australia (RBA) easing and revives the risk of another rate hike. Wednesday’s data showed consumer prices rising for a fourth consecutive month in October, moving further above the RBA’s 2%–3% target band.
NZD/USD
The NZD/USD pair holds steady near the monthly high, around the 0.5730 region, during the Asian session on Friday and looks to build on its strong move up witnessed over the past week or so. Bulls, however, need to wait for a sustained break through a short-term descending trend-line resistance, extending from the October monthly peak, before placing fresh bets.
USD/CAD
The USD/CAD pair posts modest gains near 1.4030 during the Asian trading hours on Friday. The potential upside for the Greenback might be limited as traders ramped up bets for further monetary easing from the US Federal Reserve (Fed) next month. Traders brace for the release of Canada’s Gross Domestic Product (GDP) for the third quarter (Q3), which is due later on Friday.
USD/CHF
USD/CHF trades around 0.8050 on Thursday at the time of writing, virtually inchandeg for the day. The pair nevertheless remains under pressure as the US Dollar (USD) weakens broadly, weighed down by growing market conviction that the Federal Reserve (Fed) is on track to deliver another rate cut next month.
CRUDE OIL
West Texas Intermediate (WTI) Oil price falls on Friday, early in the European session. WTI trades at $58.96 per barrel, down from Thursday’s close at $59.02.
Brent Oil Exchange Rate (Brent crude) ,on the contrary, is up, advancing from the $62.89 price posted on Thursday, and trading at $63.04.
Gold (XAU/USD) sticks to intraday gains near a two-week top heading into the European session on Friday, with bulls awaiting a sustained move beyond the $4,200 mark before placing fresh bets. The increasing likelihood of another interest rate cut by the US Federal Reserve (Fed) in December turns out to be a key factor that continues to benefit the non-yielding yellow metal. The intraday move up could also be attributed to technical buying above the $4,170-4,175 hurdle.
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