USD in the spotlight: latest news

The Japanese yen showed strength against all major currencies as risk sentiment declined, leading to a selloff on Wall Street. Consequently, the USD/JPY pair fell following a bearish outside day.

The US dollar strengthened on Tuesday, putting pressure on both the euro and the pound. Current rallies in EUR/USD and GBP/USD are viewed as opportunities for selling, while EUR/GBP indicates a potential shift in currency dynamics.

The U.S. dollar holds steady around $99.78 as traders look to the upcoming ADP jobs data and PMI reports for insights into Federal Reserve policy. Meanwhile, GBP/USD and EUR/USD continue to trade within a narrow range.

Spot Gold is trading gently on Tuesday, remaining steady at approximately $3965 per troy ounce. The precious metal appears to be struggling to generate speculative interest.

The USD/CAD pair is experiencing a rally, supported by stable rate differentials. Resistance is observed at 1.41, which may push the currency pair towards 1.4250. Any dips to 1.40 are viewed as potential buying opportunities despite ongoing volatility in the market.

On November 4, the US Dollar Index climbed to a three-month peak of 100.215 before experiencing a slight decline. This increase reflects diminishing expectations for Federal Reserve rate cuts and a rise in safe-haven investment flows.

The Euro to Dollar (EUR/USD) exchange rate dropped to new three-month lows below 1.1500 on Tuesday, as the US Dollar continued to strengthen amid ongoing uncertainty regarding the Federal Reserve's policies.

The DXY index has reached a three-month high as expectations for Federal Reserve interest rate cuts diminish and risk-off market sentiment increases. Traders are now focusing on the 200-day moving average at 100.421 for indications of further bullish momentum.

The Canadian Dollar is facing downward pressure as USD/CAD has surged past significant resistance levels, indicating a bullish breakout as the month begins.

Spot Gold is trading near the $4,000 level on Monday, remaining within a narrow intraday range. Financial markets are currently facing challenges in finding new catalysts for movement due to the strong demand for the US Dollar.

The US dollar has strengthened, causing the Euro to Dollar (EUR/USD) exchange rate to drop to a three-month low near 1.15. MUFG forecasts that the US dollar will reach 1.26 by the third quarter of 2026.

The US dollar is showing signs of strength, which is putting pressure on both the euro and the British pound. Temporary support levels may lead to brief recoveries in these currencies.

Senior Technical Strategist Michael Boutros outlines key levels to watch for the US Dollar, EUR/USD, USD/CAD, gold, and equities as the week and month begin.

The EUR/USD pair maintains a bearish trend as the week begins, approaching the critical support level of 1.1500, which also marks a three-month low.

The AUD/USD exchange rate has pulled back from recent three-week highs of over 0.66, which followed last week's inflation data. It is currently trading near lower levels, but UBS has raised its forecast for the Australian dollar to 0.68 by the end of 2025.

The GBP/USD exchange rate declined on Monday due to mixed signals from central banks, even as global markets maintained an overall positive outlook.

The US dollar is gaining strength as signals from the Federal Reserve show divergence and economic data becomes sparse. The DXY index is approaching the 200-day moving average, while traders remain cautious about the potential for a rate cut in December.

The ongoing US government shutdown is expected to create volatility in the US dollar pairs this week, particularly influencing the EUR/USD currency pair amid private sector data releases.

The gold price closed the week at $4,002 per ounce, experiencing a decline of 0.94% on Friday. This drop followed a period of volatility during which the price briefly fell below $3,950. UBS analysts predict that this pullback is temporary, with a target price of $4,200 anticipated for 2025.

The USD/JPY pair is currently trading around 154.00, marking its highest level since January. This surge follows the Federal Reserve's decision to maintain a hawkish stance without indicating any imminent rate cuts, while the Bank of Japan holds its interest rate at 0.5%.

The Australian dollar experienced a rise following strong inflation figures that diminished expectations for a rate cut by the Reserve Bank of Australia (RBA). Traders are now anticipating the upcoming US ISM and ADP data to determine the next direction for the AUD/USD currency pair.

The South African rand has regained its momentum following a brief decline, bolstered by steady policy signals, improved trade prospects, and a favorable global environment. Analysts predict that the USD/ZAR exchange rate is likely to decline further, potentially reaching R17.

The USD/CAD exchange rate has risen above 1.40, driven by increasing trade tensions and the Federal Reserve's hawkish stance. Analysts suggest that this upward trend may lead the pair towards levels between 1.4250 and 1.45. Any pullbacks in the currency pair are expected to attract dip buyers.

The USD/JPY exchange rate remains above 154 as uncertainty surrounding the Bank of Japan's interest rate decisions and the Federal Reserve's aggressive stance contribute to the yen's weakness. Market participants are increasingly concerned about the potential for intervention, especially with important U.S. economic data on the horizon.

Danske Bank has issued a forecast for the Euro to Dollar exchange rate, stating that it is "tactically bearish" in the short term but "strategically bullish" in the long run.