Forex Today: EUR/USD pressured by tariffs' threat, AUD/USD ignore RBA cut, Bitcoin loses $10,000

EUR/USD is trading below 1.1300 amid new US threats of tariffs.
AUD/USD has shrugged off a second consecutive interest rate cut by the RBA.
Bitcoin and other cryptocurrencies extend their decline.

Yohay Elam FXStreet

Here is what you need to know on Tuesday, July 2nd, the European session
- The US is mulling tariffs against the EU amid the Airbus-Boeing dispute. EUR/USD is under pressure. It seems that Trump quickly moved on after reaching a truce with China.
- German retail sales disappointed with -0.6%, adding to the pressure.
- Uncertainty looms around the top EU jobs. Leaders resume talks today but a decision about the next ECB president may take time. The EC has to contend with Italy's budget.
- Australia: The RBA has cut interest rates as broadly expected and left the door open to more reductions. The message in the statement was mixed and Governor Phillip Lowe will speak later and may shed more light on the next moves. AUD/USD dipped but recovered swiftly.
- UK: Construction PMI is due today after yesterday's manufacturing PMI missed with 48 points.
- UK politics: Boris Johnson and Jeremy Hunt remain have both promised significant spending as they clash over the leadership of the Conservative Party.
- Oil prices have "sold the fact" after OPEC and non-OPEC countries have agreed to extend their production cuts. Concerns about global demand weigh.
- Bitcoin plunges below $10,000 as the cryptocurrency sell-off extends. There is no single downside driver.*
- Gold is stable below $1,400.

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 retreats below 1.1800 following earlier rebound

EUR/USD loses its recovery momentum and trades little-changed on the day below 1.1300 in the second half of the day on Wednesday. The modest improvement seen in risk mood limits the US Dollar's gains and allows the pair to hold its ground.

GBP/USD clings to small gains above 1.3500

GBP/USD is posting moderate gains above 1.3500 on Wednesday. The pair edges higher as the US Dollar meets fresh supply amid a modest improvement seen in risk sentiment following US President Donald Trump’s first State of the Union address.

Gold eyes monthly top above $5,200 amid geopolitics, trade jitters

Gold buyers are back in the game, eyeing $5,200 and beyonf on Wednesday after seeing a correction from monthly highs on Tuesday. The US Dollar slips after Trump’s SOTU fails to impress and as AI-driven worries ease. Dovish Fed bets also weigh. Gold looks north so long as the key 61.8% Fibo resistance at $5,142 holds on the daily chart.

Bitcoin, Ethereum and Ripple post cautious recovery amid downside risks

Bitcoin, Ethereum, and Ripple are posting a cautious recovery on Wednesday following a market correction earlier this week. BTC is approaching a key breakdown level, while ETH and XRP are rebounding from crucial support levels.

Nvidia remains at the heart of the AI boom

Nvidia remains at the heart of the AI boom, with Q4 revenue projected near $65.6–66.1 billion, nearly 70% higher year-over-year. But investors are watching cash flow, leverage, and broader AI adoption. Growth is strong, but the AI stress isn’t over.

Cosmos Hub Price Forecast: ATOM rebounds slightly, bearish outlook remains intact

Cosmos Hub (ATOM) price rebounds, trading above $2.05 at the time of writing on Wednesday, after undergoing a sharp correction since last week. Weakening on-chain and derivatives data support a bearish outlook, while technical analysis remains unfavorable.