Forex Today: Huawei limits weigh on sentiment as Trump wants a weaker dollar, UK GDP and Canadian jobs eyed

Here is what you need to know on Friday, August 9th:
- The market mood is mixed after the US is moving forward to limit Huawei – the Chinese telecom giant in retaliation for China's halting of buying US agricultural goods. On the other hand, Beijing fixed the yuan lower but above expectations, providing some calm. China's Producer Price Index has disappointed with a drop of 0.3%, indicating industrial weakness. 
- Markets are still digesting President Donald Trump's desire to see a weaker dollar. US producer prices are of interest today.
- Japanese GDP rose by 0.4% in the preliminary read for the second quarter, better than expected. USD/JPY is stable.
- AUD/USD: Reserve Bank of Australia Governor Phillip Lowe has said that a lower exchange rate helps the Australian economy but also added that New Zealand's large rate cut has no implications for Australia. AUD/USD is holding above 0.68.
- Italy: PM Giuseppe Conte and deputy PM Matteo Salvini are at loggerheads over the existence of the government. Conte would like to prolong the coalition while Salvini aims for elections. 
- UK: Uncertainty about elections weighs on the pound. November 1st – a day after Brexit – is considered as an election date. Some suspect the government would like to bypass government to force a no-deal exit. Preliminary GDP for the second quarter is due out today.
- Oil prices have stabilized at lower ground and helped USD/CAD find its footing around 1.3200. Canada's jobs report is key for the loonie today.
- Cryptocurrencies are slightly lower with Bitcoin trading below $12,000.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD struggles around 1.21 amid sour market mood

EUR/USD has extended its falls and struggles around 1.21 as the risk-off mood and elevated US bond yields favor the dollar. President Biden's stimulus bill ran into a snag. The Fed's preferred inflation measure and end-of-month flows are eyed.


Gold melts below $1,750, lowest in 8 months amid high Treasury yields

Gold (XAU/USD) has been extending its downfall as elevated bond yields make the precious metal – which provides no returns – less attractive.

Gold news

S&P 500 Day Ahead Outlook: Inflation fears see bears back bashing

An ugly day for stock markets on Thursday as the dirty word inflation reared its head again. Just when you thought Powell had killed off the thought, it came back stronger in the sequel!

Read more

Bitcoin ready for bullish continuation as crypto bull cycle pauses

Bitcoin retest support at $45,000 after failing to break the resistance at $52,000. A break above the range between $48,000 and $49,500 will bring back a bullish impulse.

Read more

US Dollar Index remains firm around 90.60 post-data

The US Dollar Index (DXY), which gauges the buck vs. a basket of its main rivals, keeps the bid tone unchanged around 90.60 on Friday.

US Dollar Index News