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.

EUR/USD meets initial support around 1.1800

EUR/USD remains on the back foot, although it has managed to reverse the initial strong pullback toward the 1.1800 region and regain some balance, hovering around the 1.1850 zone as the NA session draws to a close on Tuesday. Moving forward, market participants will now shift their attention to the release of the FOMC Minutes and US hard data on Wednesday.

GBP/USD bounces off lows, retargets 1.3550

After bottoming out just below the 1.3500 yardstick, GBP/USD now gathers some fresh bids and advances to the 1.3530-1.3540 band in the latter part of Tuesday’s session. Cable’s recovery comes as the Greenback surrenders part of its advance, although it keeps the bullish bias well in place for the day.

Gold remains offered below $5,000

Gold stays on the defensive on Tuesday, receding to the sub-$5,000 region per troy ounce on the back of the persistent move higher in the Greenback. The precious metal’s decline is also underpinned by the modest uptick in US Treasury yields across the spectrum.

Ethereum Price Forecast: BitMine extends ETH buying streak, says long-term outlook remains positive

Ethereum (ETH) treasury firm BitMine Immersion continued its weekly purchase of the top altcoin last week after acquiring 45,759 ETH.

UK jobs market weakens, bolstering rate cut hopes

In the UK, the latest jobs report made for difficult reading. Nonetheless, this represents yet another reminder for the Bank of England that they need to act swiftly given the collapse in inflation expected over the coming months.

Ripple slides to $1.45 as downside risks surge

Ripple edges lower at the time of writing on Tuesday, from the daily open of $1.48, as headwinds persist across the crypto market. A short-term support is emerging at $1.45, but a buildup of bearish positions could further weaken the derivatives market and prolong the correction.