EUR/USD
EUR/USD leaves behind a multi-day negative streak and manages to advance past the 1.1600 hurdle at the end of the NA session on Wednesday. The recovery in spot follows a slight pullback in the Greenback as investors continue to assess the US-China trade front and the lack of progress toward a deal to end the US government shutdown.
GBP/USD
GBP/USD extends its losing streak for the fifth consecutive day, trading around 1.3340 during the Asian hours on Thursday. The pair depreciates as the US Dollar draws support due to increased risk aversion as traders are expected to approach the United States inflation data due on Friday cautiously amid the ongoing government shutdown and resulting data blackout.
USD/JPY
USD/JPY extends its gains for the fifth successive session, trading around 152.50 during the Asian hours on Thursday. The pair appreciates as the Japanese Yen (JPY) weakens amid rising likelihood of the new Prime Minister Sanae Takaichi pursuing expansionary fiscal policies and supporting accommodative monetary policy. Meanwhile, the Bank of Japan (BoJ) is widely expected to hold rates steady next week, with markets now eyeing a possible hike in January.
AUD/USD
AUD/USD trades slightly higher around 0.6500 on Thursday at the time of writing, up about 0.10% for the day. The pair benefits from a renewed risk-on mood, as investors welcome more constructive signals on the trade front between the United States (US) and China. In this context, the Australian Dollar (AUD) is outperforming slightly, while the US Dollar (USD) remains more hesitant.
NZD/USD
The NZD/USD consolidates within the 0.5700-0.5760 for the second straight day, as the 20-day Simple Moving Average (SMA) at 0.5764 capped the pair’s advance towards the 0.58 figure. At the time of writing, the pair trades at 0.5739, virtually unchanged.
USD/CAD
The USD/CAD pair posts modest losses near 1.3990 during the early Asian session on Thursday. The Canadian Dollar (CAD) strengthens against the US Dollar (USD) on a rise in crude oil prices. The Canadian Retail Sales and US Kansas Fed Manufacturing Activity reports will be released later on Thursday.
USD/CHF
The USD/CHF pair is down 0.10% on Thursday, trading around 0.7950 at the time of writing, after bouncing from the 0.7900 area earlier this week. The US Dollar (USD) is holding steady against the Swiss Franc (CHF) for the week so far, with markets remaining cautious ahead of the upcoming US Consumer Price Index (CPI) report and next week’s Federal Reserve (Fed) monetary policy decision.
CRUDE OIL
Oil prices jumped 3% on Thursday, extending gains from the previous session, as India buyers started reviewing their Russian oil purchases after the U.S. imposed sanctions on major suppliers Rosneft and Lukoil over the Ukraine war.
Gold price (XAU/USD) edges lower below $4,100 during the early European trading hours on Thursday. The precious metal has faced a sharp sell-off in the previous sessions on easing tensions between the United States (US) and China and the renewed US Dollar (USD) demand. Traders also book profits ahead of key US inflation data due on Friday. Furthermore, analysts believe that the end of the Diwali festival in India, the world’s second-largest gold consumer, might reduce physical demand and drag the price lower.
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