EUR/USD is challenging the 1.0600 mark, extending the rebound into early Europe on Wednesday. The rebound in the pair is underpinned by a pause in the broad US Dollar overnight recovery. Germany’s IFO survey is next in focus for Euro traders.
The GBP/USD pair attracts some dip-buying during the Asian session on Wednesday and for now, seems to have stalled the previous day’s retracement slide from the vicinity of the 1.2300 mark, or a near two-week high. Spot prices manage to hold above the 1.2150 level in the wake of subdued US Dollar (USD) price action, though lack bullish conviction.
The USD/JPY continues to cycle close to the 150.00 major handle, and the pair has constrained into a tight holding pattern after failing to make a meaningful break after tipping into 150.16 at the beginning of October.
The AUD/USD saw an early climb on Tuesday after hawkish comments from Reserve Bank of Australia (RBA) Governor Michelle Bullock propped up the Aussie (AUD) ahead of Wednesday’s Australian Consumer Price Index (CPI) inflation data due early in the Asia market session, while policy watchers will also be keeping an eye out for RBA Governor Bullock’s statements on the state of the Australian economy when she testifies before the Senate Economics Legislative Committee in Canberra early Thursday.
NZD/USD retraces recent losses, trading at around 0.5860 during the Asian session on Wednesday. The uptick is influenced by improved risk sentiment, with the postponement of Israel’s ground assault plan in Gaza contributing support to the pair.
The USD/CAD pair struggles to capitalize on the overnight goodish intraday rally of around 90 pips from a multi-day low and oscillates in a narrow band during the Asian session on Wednesday. Spot prices currently trade just below mid-1.3700s, or a near three-week high touched on Tuesday as traders keenly await the Bank of Canada (BoC) policy decision before positioning for the next leg of a directional move.
The USD/CHF pair loses traction during the Asian trading hours on Wednesday. That being said, the geopolitical conflicts in the Middle East continue to hang over the market and benefit Swiss France (CHF). The pair currently trades near 0.8928, down 0.05% on the day.
Oil was little changed on Wednesday after falling for three days as concerns about slowing European demand offset worries of Middle East supply disruptions stemming from the Israel-Hamas conflict in Gaza.
Gold price is replicating the recovery moves seen in Asian trading on Tuesday, as buyers jumped back early Wednesday amid a pause in the United States Dollar (USD) rebound across the board and sluggish US Treasury bond yields.
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