Forex Today: Fear firing up USD, JPY, Gold while Bitcoin bulls are back and critical data coming

A risk-off mood is dominating markets, boosting safe-haven assets.
Dovish central bankers weigh on currencies.
The calendar is packed with top-tier events including NFP hints.

Yohay Elam FXStreet

Here is what you need to know to start your day:

- Markets are dominated by a risk-averse mood. US 10-year yields are below 2% and USD/JPY is under pressure.
- Gold has reached new highs at $1,437, also enjoying safe-haven flows.
- EU leaders have nominated IMF MD Christine Lagarde to lead the ECB. She will likely continue Draghi's easing policies and may call governments to do more.
- The pound is under pressure after BOE Governor said that they will reassess the "sea change" in the global economy as a result of trade tensions. UK Services PMI will be closely watched after Construction PMI fell to the lowest in 10 years.*
- AUD/USD is holding up close to the highs amid upbeat Australian building approvals and a broad trade balance surplus.
- Oil prices are falling despite the OPEC-non-OPEC decision to extend production cuts.
- Bitcoin and other cryptocurrencies have recovered with BTC/USD topping $11,500.
- A busy day awaits traders with critical hints toward Friday's Non-Farm Payrolls. These include the ADP NFP, jobless claims, and the ISM Non-Manufacturing PMI.

See US Non-Farm Payrolls Preview: Three is not the charm

Author

Yohay Elam

FXStreet

Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.

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Five sessions, one round trip: Why the whipsaw is exactly what Warsh ordered

Markets opened July with a December hike as the base case and spent five trading sessions unlearning and relearning it. A 57K payrolls print bled the tightening bets out of the strip; a re-shut Strait of Hormuz is pushing them back in. Wednesday's minutes from the June FOMC meeting landed mid-round-trip, describing a world that had already stopped existing.