USD Slips as Risk Appetite Improves
Focus switches to U.S. jobless claims and the Philadelphia Fed Manufacturing Survey, while oil prices continue their steady rise. The euro is under pressure following weaker-than-expected German producer price data. Meanwhile, commodity markets are seeing gains, with wheat and soybeans advancing
Key Data Out Today
- U.S. Initial Jobless Claims: Expected at 215K, previous 213K.
- Philadelphia Fed Manufacturing Survey: Prior data at 44.3, forecast at 20.
- German Producer Price Index (MoM): -0.1% (Previous: -0.1%, Consensus: 0.6%).
- German Producer Price Index (YoY): 0.5% (Previous: 0.8%, Consensus: 1.3%).
- Eurozone Consumer Confidence: Previous -14.2, new data awaited.
Commodities
- Brent Crude: $76.19 per barrel (+0.14%), continuing a weekly uptrend.
- Crude Oil (WTI): $72.21 per barrel (+0.11%), modest gains as markets weigh supply risks.
- Gold: $2931.70 per ounce (-0.07%), holding near recent highs.
- Silver: $32.79 per ounce (-0.32%), slightly lower after strong gains in recent sessions.
Currency Movements
EUR/USD (1.0437, +0.14%)
The euro is attempting a slight recovery but remains under pressure after weaker-than-expected German producer price data, suggesting inflationary pressures may be easing in the Eurozone.
GBP/USD (1.2609, +0.18%)
The pound is holding gains as traders digest upbeat UK data and expectations of stable monetary policy. The softer U.S. dollar is also providing support.
AUD/USD (0.6375, +0.49%)
The Australian dollar is benefiting from commodity strength, particularly rising oil and agricultural prices, alongside improving global risk sentiment.
NZD/USD (0.5727, +0.49%)
The Kiwi is advancing, supported by broad USD weakness and an improved global outlook. Markets are also reacting to the RBNZ’s rate decision, which kept rates unchanged.
USD/JPY (150.32, -0.76%)
The yen is strengthening as Treasury yields decline, signaling a shift in risk sentiment. Investors are taking a more cautious stance ahead of upcoming U.S. data.
USD/CNY (7.2658, -0.26%)
The yuan has firmed slightly, reflecting stabilization in the Chinese economy as policymakers continue to manage economic recovery efforts.
USD/CHF (0.9023, -0.25%)
The Swiss franc is strengthening as investors seek safe-haven assets amid concerns over U.S. job market data and global inflation trends.
USD/CAD (1.4216, -0.15%)
The Canadian dollar is gaining as oil prices continue their steady climb, improving the outlook for Canada’s resource-driven economy.
USD/MXN (20.40, -0.19%)
The peso is appreciating, supported by a resilient Mexican economy and improving investor sentiment toward emerging markets.
USD/INR (86.63, -0.29%)
The Indian rupee is moving higher, tracking global risk appetite, while traders monitor upcoming economic data for further cues.
Market Outlook
- The U.S. jobless claims data will be a key market focus, as investors assess labor market resilience.
- The Philadelphia Fed Manufacturing Survey will provide insights into U.S. business sentiment.
- The German PPI data came in lower than expected, reinforcing concerns about inflation trends in Europe.
- Oil markets continue to climb, supporting commodity-linked currencies like the AUD and CAD.
- Equity markets remain cautious ahead of Fed speeches, with policymakers set to discuss inflation and policy outlook.