Forex Today: Markets eye Powell fallout, US data, and RBA Minutes

Pablo Piovano FXStreet

The US Dollar (USD) regained some composure and managed to partially fade Friday’s post-Powell in quite a positive start to the new trading week. Investors’ attention, in the meantime, is expected to remain on the trade front and rising speculation of a September rate cut by the Federal Reserve.

Here's what to watch on Tuesday, August 26:

The US Dollar Index (DXY) clocked decent gains and reclaimed the 98.00 barrier and beyond as market participants digested Chief Powell’s dovish remarks at the Jackson Hole event. The Consumer Confidence gauged by the Conference Board will grab all the attention, seconded by Durable Goods Orders, the FHFA’s House Price Index, the Richmond Fed Manufacturing Index, and the API’s weekly report on US crude oil inventories.

EUR/USD kickstarted the week on the back foot, returning to the 1.1650 area, or daily lows, following the Greenback’s marked rebound. Next on the domestic docket will be Germany’s Consumer Confidence tracked by GfK on August 27.

GBP/USD traded on the defensive, coming under pressure and revisiting the sub-1.3500 zone. The BRC Shop Price Index will be released next.

USD/JPY resumed its uptrend, leaving behind Friday’s steep decline and challenging the mid-147.00s once again. The weekly Foreign Bond Investment figures will be the next event on the Japanese calendar on August 28.

AUD/USD navigated a tight range, breaking below the 0.6500 contention zone amid marginal gains. The RBA Minutes will be the salient event in Oz.

Crude oil prices extended their gradual ascent, briefly trespassing the $65.00 mark per barrel of American WTI against the backdrop of supply fears and geopolitical tensions.

The US Dollar’s decent gains and the rebound in US yields across the curve did not prevent Gold prices from adding to Friday’s gains and coming close to the $3,380 mark per troy ounce on Monday. Silver prices, in the meantime, set aside three daily advances in a row, retreating markedly following tops around $39.00 per ounce.

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Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

GBP/USD weakens below 1.3450 as US-Iran uncertainty boosts safe-haven US Dollar

The GBP/USD pair loses ground to near 1.3425 during the early Asian session on Tuesday. Uncertainty surrounding US-Iran talks drives traders toward a safe-haven currency such as the US Dollar against the British Pound. All eyes will be on the US July jobs data, which is due later on Friday.

EUR/USD flatlines above 1.1500, awaits US jobs data

EUR/USD holds steady around 1.1505 in European trading hours on Wednesday. Markets remain cautious ahead of a slew of US jobs data, starting with the JOLTS Job Openings Survey later today. However, the downside appears capped by hot Eurozone inflation in July, bolstering the case for a European Central Bank rate hike at the next meeting.

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Ripple and Stellar steady as derivatives data points to easing downside pressure

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NFP week: What awaits Bitcoin and Gold

This is an NFP week as markets brace for the release of a large influx of job market statistics. The data rollout begins with the JOLTS Job Openings report on Tuesday, continues with the ADP Employment report on Wednesday and Jobless claims on Thursday, and finishes with the Nonfarm Payrolls report on Friday.

9-3: Is the Federal Reserve’s vote tally Warsh's new forward guidance?

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