EUR/USD
The EUR/USD pair edges higher to around 1.1615 during the early European session on Wednesday. The improved risk sentiment provides some support to the Euro against the Greenback. Traders will take more cues from the Federal Reserve’s Chair Jerome Powell testifies later on Wednesday.
GBP/USD
GBP/USD extends its winning streak for the third successive session, trading around 1.3620 during the Asian hours on Wednesday. The pair is hovering around 1.3648, the highest since February 2022, which was recorded on Tuesday. The risk-sensitive GBP/USD pair receives support from the improved risk appetite amid easing tensions in the Middle East.
USD/JPY
The Japanese Yen (JPY) edges lower against its American counterpart during the Asian session on Wednesday as the Israel-Iran ceasefire optimism continues to act as a headwind for traditional safe-haven assets. Moreover, the Summary of Opinions from the Bank of Japan’s (BoJ) June meeting showed that some policymakers called for keeping interest rates steady for the time being due to uncertainty over the impact of US tariffs on Japan’s economy. This turns out to be another factor undermining the JPY.
AUD/USD
The Australian Dollar (AUD) extends its gains for the third successive session on Wednesday. The AUD/USD pair remains stronger following the release of Australia’s Monthly Consumer Price Index (CPI), which climbed by 2.1% year-over-year in May. The inflation came in softer than market expectations of a 2.3% rise and the 2.4% prior, easing after remaining consistent for three successive months.
NZD/USD
The NZD/USD pair attracts fresh buyers near the 0.6000 psychological mark during the Asian session on Wednesday and climbs back closer to the weekly top touched the previous day. Spot prices currently trade near the 0.6030-0.6035 area and look to prolong a three-day-old recovery momentum from a one-month low set at the start of this week amid a weaker US Dollar (USD).
USD/CAD
The USD/CAD pair builds on the previous day’s bounce from the 1.3680-1.3675 area, or the weekly low, and gains some positive traction during the Asian session on Wednesday. Spot prices climb to a fresh daily high, around the 1.3730-1.3735 region in the last hour as bearish Crude Oil prices undermine the commodity-linked Loonie, through a softer US Dollar (USD) caps gain.
USD/CHF
The USD/CHF pair posts a fresh over-a-decade low near 0.8034 during Asian trading hours on Wednesday. The Swiss Franc pair faces a sharp selling pressure as the US Dollar (USD) continues to underperform its peers after a ceasefire between Israel and Iran.
CRUDE OIL
Oil prices climbed on Wednesday as investors assessed the stability of a ceasefire between Iran and Israel, but held near multi-week lows on the prospect that crude oil flows would not be disrupted.
Gold price edges higher as Fed rate cut bets keep the USD bulls on the defensive. Doubts over the durability of the Israel-Iran ceasefire also support the commodity. Traders look forward to this week’s important US macro data for a fresh impetus.
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