untitled design

Forex Today – Asian Session: Markets Quiet, Focus On RBA

The key appointment of the Asian session will be the meeting of the Reserve Bank of Australia. No changes in interest rates are expected. In addition, the final reading of the services PMI will be published. Later, data on wholesale inflation in the Eurozone and factory orders in the United States will be published.

Here’s what you need to know on Tuesday, September 5:

In a quiet session, the Dollar Index fell modestly and held above 104.00, near monthly highs in a quiet session with Wall Street closed for Labor Day. US stock futures fell marginally. Factory orders for July will be released on Tuesday.

The president of the European Central Bank (ECB), Christine Lagarde, offered no new data in her speech on Monday. German Trade data was better than expected, while Eurozone investor confidence sentix fell again in September to -21.5. EUR/USD rose moderately but failed to consolidate above 1.0800. The trend remains down, with support at 1.0760. On Tuesday, Lagarde will speak again, Eurostat will publish the Producer Price Index for August and the latest services PMIs will be published.

The GBP/USD pair rose from below 1.2600 to the 1.2630 area. The pound fared better and the EUR/GBP pair dipped below 0.8550. The latest UK Services PMI will be released on Tuesday.

USD/JPY continued higher and climbed to the 146.50 zone. A consolidation above that level would reinforce the bullish outlook.

The AUD/USD pair closed around the 20-day SMA around 0.6460, with slight gains against a weak US dollar. The Reserve Bank of Australia (RBA) is scheduled to announce its monetary policy decision on Tuesday. The RBA is expected to keep its key interest rate at 4.1%. This meeting will be Philip Lowe’s last as RBA Governor.

The NZD/USD pair continued to trade sideways, with a crucial support level at 0.5900 and trading below the 20-day SMA at 0.5970. To signal a more sustainable recovery, the Kiwi needs to achieve a daily close above 0.6000.

USD/CAD held on to Friday’s gains but struggled to break above 1.3600. The Bank of Canada will hold its monetary policy meeting on Wednesday.

Gold it closed near the $1,940 zone for the third day in a row. It remains trading sideways after failing to break above $1,950 or the 100-day SMA. Silver experienced its fourth consecutive day of losses and dipped slightly below $24.00.

Crude oil prices maintained their recent gains, with WTI hovering around $85.00 a barrel. These gains were supported by production cuts from Russia and Saudi Arabia, as well as hopes for further stimulus measures from China.

Did you like this article? Help us with your comments by answering this survey:

rate of this content

Source: Fx Street

You may also like

Most popular