Forex Today: Dollar remains weak despite investors turn cautious

Valeria Bednarik FXStreet

What you need to know on Tuesday, August 31:

The week started in slow motion amid a holiday in the UK and a scarce macroeconomic calendar. Speculative interest already digested the dovish stance from Federal Reserve Chair Jerome Powell, with the focus shifting to US employment-related data to be released later in the week.

The dollar seesawed between gains and losses but retained its intrinsic weakness against most of its major rivals. The EUR/USD remained below the 1.1800 threshold, while GBP/USD settled around 1.3760, unchanged for the day.

Gold prices were up on the day, supporting the CAD, but gold retreated to $1,808 a troy ounce, weighing on the aussie. AUD/USD finished the day below the 0.7300 figure.

Generally speaking, data coming from the EU and the US was tepid, fueling concerns about economic growth.

Us Treasury yields fell, as investors slowly turn cautious ahead of the US Nonfarm Payroll report to be out next Friday.

Wall Street closed mixed, with the DJIA losing some ground, but the S&P and the Nasdaq Composite reaching fresh record highs.

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Author

Valeria Bednarik

FXStreet

Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.

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