The Greenback continues its upward trajectory, with the US Dollar Index (DXY) holding steady near 101.70 as investors await crucial data releases on Wednesday. The focus will be on the release of the Inflation Rate tracked by the CPI, along with other key reports such as the weekly MBA Mortgage Applications and the EIA’s crude oil inventories update.
EUR/USD is facing pressure, dropping for the third consecutive day and approaching the key support level of 1.1000. The upcoming ECB interest rate decision on September 12 will be closely watched in the euro area.
GBP/USD is experiencing limited movement within a narrow range amid cautious sentiment in the FX market. On September 11, UK economic data including GDP figures, Balance of Trade results, and production reports will be in focus.
USD/JPY is on a downward trend, breaking below the 143.00 support level and eyeing recent lows below 142.00. BoJ’s Nakagawa is scheduled to speak on September 11, adding to market expectations.
AUD/USD is seeing a pullback but finding support around 0.6650-0.6640. Market attention will turn to Consumer Inflation Expectations and a speech by the RBA’s Hunter on September 11.
WTI prices are under pressure due to demand concerns and a bleak OPEC report, pushing prices towards $65.00 per barrel for the first time since May 2023.
Gold prices are rising, supported by a slightly weaker greenback and lower US yields ahead of the US CPI release. Meanwhile, Silver prices are trading around $28.30 after reaching two-day highs earlier.
Analysis:
The US Dollar remains strong against major currencies, with upcoming data releases likely to impact market sentiment. Investors should monitor key economic indicators and central bank decisions to navigate potential volatility in the financial markets. Additionally, the fluctuating commodity prices indicate ongoing uncertainty in global markets, highlighting the importance of diversification and risk management in investment strategies.