Further decline saw the Greenback recede to levels last traded in late December 2023 in the sub-101.00 zone, as bets for a rate cut in September were boosted by the FOMC Minutes of the July gathering.
Here is what you need to know on Thursday, August 22:
The USD Index (DXY) retreated to the 100.90 zone against the backdrop of extra losses in US yields across the curve and firmer expectations of a rate cut in September. The Jackson Hole Symposium kicks in on August 22, while on the US docket are expected the usual weekly Initial Jobless Claims, the Chicago Fed National Activity Index, Existing Home Sales, and the advanced S&P Global Manufacturing and Services PMIs for the month of August.
EUR/USD accelerated its bullish impulse and hit new YTD peaks past 1.1170, always in response to the pronounced sell-off in the US Dollar. On August 22, the ECB will publish its Meeting Accounts, along with the release of preliminary HCOB Manufacturing and Services PMIs for the current month in both Germany and the broader euro area and the flash Consumer Confidence gauge in the bloc tracked by the European Commission.
Following its risky peers, GBP/USD reached fresh 2024 tops north of the 1.3100 barrier amidst the exacerbated selling pressure in the Greenback. The advanced S&P Global Manufacturing and Services PMIs for the month of August will be unveiled on August 22, seconded by the CBI Industrial Trends Orders.
USD/JPY added to the weekly leg lower and broke below the 145.00 support with certain conviction following lower yields and the sharp retracement in the Dollar. The preliminary Jibun Bank Manufacturing and Services PMIs are due on August 22, seconded by weekly Foreign Bond Investment figures.
Further gains saw AUD/USD clinch multi-day peaks near 0.6760 on the back of the continuation of the downward bias in the US Dollar. The flash Judo Bank Manufacturing and Services PMIs are expected on August 22.
Recession fears and omnipresent demand concerns coming from the sluggish Chinese economy weighed further on traders and dragged WTI prices to nearly seven-month lows around $71.50 per barrel.
Gold prices rose marginally, although enough to keep the trade above the key $2,500 mark per ounce troy. Silver left behind Tuesday’s irresolute day and advanced past the $29.00 mark per ounce.
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD climbs above 1.1650 area on improving risk mood
EUR/USD extends its daily rally and trades above 1.1650 in the American session on Friday. The sharp decline seen in the 1-year Consumer Inflation Expectations component of the UoM Consumer Sentiment Index weighs on the US Dollar and helps the pair push higher.
GBP/USD rises above 1.3450 on USD weakness
GBP/USD gathers bullish momentum and trades above 1.3450 on Friday after struggling to find direction on Thursday. The positive shift seen in market mood and the pullback seen in US consumer inflation expectations hurt the US Dollar and support the pair heading into the weekend.
Gold extends daily recovery beyond $3,350
Gold gains traction on Friday and clings to daily gains above $3,350. Renewed US Dollar (USD) weakness and retreating US Treasury bond yields allow XAU/USD to edge higher, while the upbeat market mood limits the pair's upside.
Bitcoin nears all-time high, Ethereum eyes $4,000, Ripple sets new record
Bitcoin price is trading above $120,000 on Friday, inching closer to its all-time high of $123,218. Ethereum price has surged by over 20% so far this week, with bulls aiming for the $4,000 level next. Ripple has taken center stage, reaching a new record high of $3.66 on Friday, signaling renewed demand and optimism across the market.
China’s first-half growth remains on track, though activity data signals caution
China's second-quarter GDP beat forecasts again with a 5.2% year-on-year growth, driven by strong trade and industrial production. Yet sharper-than-expected slowdowns in fixed-asset investment and retail sales and falling property prices are a concern.
Best Brokers for EUR/USD Trading
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.