The US Dollar had a bearish session on Thursday, losing ground despite higher yields and a generally positive sentiment in the risk-associated universe. On Friday, September 27, the US Dollar Index dropped significantly, falling below the 100.50 region. Investors will be paying close attention to the PCE data, the final print of the Michigan Consumer Sentiment, Personal Income, and Personal Spending.
EUR/USD managed to recover some of its losses from Wednesday, reaching the 1.1190 zone. The focus will be on the German labour market report, along with the final Consumer Confidence, Consumer Inflation Expectation, and Economic Sentiment data. ECB’s Cipollone and Lane are also scheduled to speak, adding to the list of events that could impact the currency pair’s performance.
GBP/USD surpassed the 1.3400 level and reached new yearly highs, benefiting from the positive sentiment in the risk-associated space. Investors will be watching for the GDP figures on September 30 and Mortgage Approvals data for further clues on the Pound’s direction.
USD/JPY hit three-week highs above 145.00 before retracing some of its gains later in the day. Inflation figures in Tokyo, weekly Foreign Bond Investment data, and the final Coincident Index and Leading Economic Index will be released, providing more insight into the pair’s movements.
AUD/USD rose significantly, approaching the key 0.6900 level, influenced by news of stimulus in China and the fluctuating performance of the US Dollar. Investors will look out for Housing Credit figures and Private Sector Credit data from Australia for further guidance.
WTI prices dropped below $67.00 per barrel, hitting two-week lows due to OPEC+ announcements of plans to increase oil output. Meanwhile, Gold prices continued their upward trend, reaching new highs near $2,690 per ounce, despite higher US yields. Silver also climbed to the $32.70 zone, marking its highest level since December 2012.
