US Session Open

AUD/USD stalls the previous day's retracement slide from the vicinity of mid-0.7100s, or a three-year high, as traders move to the sidelines ahead of Friday's release of the US consumer inflation figures. In the meantime, the divergent RBA-Fed outlooks might continue to support spot prices amid subdued US Dollar demand, though the risk-off impulse could act as a headwind for the Aussie.

The USD/JPY gains some positive traction during the Asian session, snapping a four-day losing streak amid some repositioning ahead of the US CPI report. Meanwhile, expectations that Japan's PM Sanae Takaichi could be more fiscally responsible, along with bets that the BoJ will stick to its policy normalization path and the risk-off mood, could support the safe-haven Japanese Yen. The US Dollar, on the other hand, struggles to attract buyers amid dovish Fed expectations and threats to the central bank's independence, which, in turn, should cap the currency pair.

Gold price faces some selling pressure around $4,910 during the early Asian session on Friday. The yellow metal tumbles over 3.50% on the day, with algorithmic traders appearing to amplify the precious metal’s sudden drop. Traders will closely monitor the release of the US Consumer Price Index inflation report for January, which will be released later on Friday. 

US spot Ethereum exchange-traded funds flipped negative again on Wednesday after recording net outflows of $129.1 million, reversing mild inflows seen at the beginning of the week, per SoSoValue data. Fidelity's FETH was responsible for more than half of withdrawals, posting outflows of $67 million.

Undoubtedly, yesterday’s delayed US January jobs report delivered a strong headline – one that surpassed most estimates. However, optimism quickly faded amid sobering benchmark revisions.

The US Dollar (USD) holds around 97 in the American session on Thursday after Wall Street fell sharply on fresh AI-related fears, as the tech sector is far from generating decent profits.