Forex Today: Market turbulence dissipates on further Yen selling


Another positive session saw the Greenback advance to weekly tops, helped by the extra depreciation of the Japanese currency and the unabated march north in US yields across the spectrum.

Here is what you need to know on Friday, August 9:

The USD Index (DXY) climbed to four-day highs beyond 103.50 in the context of higher yields globally and dominating risk-on sentiment. The US docket will be empty on August 9.

EUR/USD clinched its third consecutive daily retracement, breaking below the 1.0900 support in response to extra gains in the US Dollar. Germany’s final Inflation Rate will be the only scheduled release on the euro calendar on August 9.

GBP/USD rapidly set aside an early drop to multi-week lows near 1.2660, reclaiming the area above 1.2700 the figure amidst the prevailing appetite for the risk complex. There will be no data releases in the UK on August 9.

USD/JPY extended its weekly advance following further selling of the Japanese yen and the persistent risk-on mood among traders. On August 9, there will only be a short-term bill auction.

An extra rebound lifted AUD/USD to new two-week peaks near 0.6580, up for the third consecutive day on Thursday. The NAB Business Confidence index is only due on August 9.

WTI prices rose further and clinched weekly tops past the $76.00 mark per barrel, helped by persevering geopolitical concerns in the Middle East.

Gold prices advanced to three-day highs near $2,425 per ounce troy following hopes of a 50 bps rate cut by the Fed beyond the summer. Silver rallied more than 3 % to revisit the $27.60 region per ounce, or multi-day highs.

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