The US dollar and bond yields rose before and after the minutes of the US central bank’s July meeting, the signals less dovish than expected. US equities earlier nudged to fresh record highs but the S&P500 is now down 0.4%. Commodities, Brent oil futures fell 0.5% to $45.25, copper rose 0.6% to a high since June 2018, iron ore rose 0.8% to $129.65 – a fresh high since 2014, and gold fell 3.0%
AUD/USD: 0.7180 – 0.7275
EUR/USD: 1.1830 – 1.1951
GBP/USD: 1.3095 – 1.3263
USD/JPY: 105.18 – 106.08
USD/CAD: 1.3134 – 1.3217
NZD/USD: 0.6560 – 0.6652
AUD/JPY: 76.12 – 76.67
AUD/NZD: 1.0932 – 1.0962
- AUD/USD remains on the back foot near 10-day SMA after taking a U-turn from the yearly high.
- US dollar index bounced back from 27 month low and surprised markets with a little backup.
- The receding cases in New York and Florida, FOMC minutes and short-covering were called for as reasons.
- No major data/events will keep qualitative risk catalysts in the driver’s seat.
Despite the failure to cross 2019 top surrounding 0.7300, AUD/USD prices are yet to break a 10-day SMA level of 0.7180 and a monthly support line near 0.7130, which in turn keeps bulls less carried away with the latest fall.
Event Risk Data Today
EU – ECB meeting minutes
US – weekly jobless claims
US – Philly Fed survey