The US Dollar Index (DXY) held firm near the 98.60 area as investors continued to favor the Greenback amid lingering uncertainty around the US-Iran conflict.
The USD/JPY climbed near the 159.30 price region on Wednesday, consolidating around recent highs as markets digest fresh developments in the Middle East and shift monetary policy expectations.
Societe Generale’s Anatoli Annenkov expects the European Central Bank (ECB) to keep rates unchanged next week as focus shifts toward Euro Area growth and medium-term core inflation.
EUR/GBP trades on the back foot on Wednesday as UK inflation data lifts the British Pound (GBP), pressuring the Euro (EUR), with the cross extending losses for the second consecutive day. At the time of writing, EUR/GBP is trading around 0.8680, its lowest level since March 31.
ING strategists Francesco Pesole, Frantisek Taborsky and Chris Turner note that the US Dollar (USD) was largely unmoved by Kevin Warsh’s Senate hearing, as he defended Federal Reserve independence and avoided clear policy guidance.
The latest Reuters surveys of economists suggest a notable shift in expectations regarding the trajectory of US monetary policy, with the timing of potential easing likely to come later than previously anticipated.
The US Dollar Index (DXY), which tracks the Greenback’s value against a basket of six major currencies, holds steady on Wednesday, hovering near one-week highs as the extension of the US-Iran ceasefire is seen as a temporary pause in military escalation rather than a real breakthrough, suggesting th
Commerzbank’s Dr. Vincent Stamer compares its Euro area inflation projections with European Central Bank (ECB) staff forecasts and concludes they are broadly aligned under the mild Iran War scenario.
United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann observe that USD/JPY climbed to 159.37 as the Dollar strengthened. They see scope for a retest of 159.65, with limited follow-through above that level, and expect a broader 157.55–160.50 range.
The EUR/USD pair trades flat at around 1.1745 during the European trading session on Wednesday. The major currency pair consolidates while the US Dollar (USD) edges lower amid hopes of a prolonged standoff between the United States (US) and Iran.
GBP/USD trades around 1.3515 on Wednesday, gaining a modest 0.06% at the time of writing, as investors digest the latest inflation figures from the United Kingdom (UK) and assess the outlook for monetary policy on both sides of the Atlantic.
