Here’s everything you need to know about Forex Today.
To begin the week,in Forex market the US Dollar (USD) outperformed its major rivals thanks to safe haven flows. And rising US Treasury bond yields. After gaining about 0.5% on Monday. The USD Index stabilized above 103.50 early Tuesday. With investors diverting their attention to October JOLTS Job Openings data and the November ISM Services PMI survey.
Wall Street’s main indexes opened in the red and proceeded to fall on the first trading day of the week. As investors fled riskier assets amid mounting concerns that the Israel Hamas confrontation may escalate into a regional conflict. At the time of publication. US stock index futures were down between 0.2% and 0.4%, indicating no signs of an improvement in risk sentiment. “Every time we think things cannot get any more apocalyptic in Gaza, they do,” said Martin Griffiths, the top UN humanitarian relief officer, in a statement Monday, according to CNN. “People are being ordered to move again, with little to survive on, forced to make one impossible choice after another.”
Following its policy meeting in December, the Reserve Bank of Australia (RBA) indicated that the policy rate will remain unchanged at 4.35%, as expected. “Whether further monetary policy tightening is required to ensure that inflation returns to target in a reasonable timeframe will depend on the data and the outlook.” “the evolving risk assessment,” the RBA stated again in the policy statement. The AUDUSD fell below 0.6600 as a result of bearish pressure.
Forex market movement in pairs.
On Monday, the EURUSD plummeted below 1.0800, its lowest level in more than two weeks. Although the pair recovered to the 1.0850 area near the end of the American session, it struggled to maintain that momentum and was last seen trading just below that level.
GBPUSD fell more than 50 pips on Monday before settling below 1.2650 early Tuesday. There will be no high-level macroeconomic data releases on the UK economic calendar.
The USDJPY made slight advances on Monday but struggled to break over 147.00 during Asian trading hours on Tuesday. Earlier in the day, data from Japan revealed that the Tokyo Consumer Price Index increased 2.6% year on year in November, less than the 3.3% increase recorded in October.
Gold fell sharply after reaching a new all-time high near $2,150 on Monday, and it ended the day in the red. The XAU/USD currency pair was last seen consolidating its losses below $2,050.
