Forex Today: trade war in the eye of the storm

FXStreet Team FXStreet

Here is what you need to know Tuesday, October 8th:

Major pairs depended on US-China trade-related headlines, with the market’s mood, and the dollar swinging alongside. By the end of the day, is clear that China is willing to sign a deal which includes specific points both sides agree upon, but won’t discuss commitments on reforming Chinese industrial policy or government subsidies.
The EUR/USD pair flirted with the 1.1000 figure for a third consecutive day but finished the day flat around 1.0970. German dismal data prevents speculative interest from buying the shared currency.
The Pound came under pressure as Brexit hopes continued to fade. The EU rejected the latest UK PM’s Johnson proposal, unwilling to set a border on the Irish island. UK running out of time ahead of the EU Summit next October 17.
Safe havens lost ground to the dollar in the American afternoon, greenback gains modest as uncertainty persists.
Cryptocurrencies trimmed early losses, remained at the lower end of their latest range.

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FXStreet Team

FXStreet

EUR/USD looks apathetic around 1.1770

EUR/USD comes under renewed pressure on Tuesday, deflating below the 1.1800 support and reversing two consecutive days of gains. The pair’s decline follows the persistent move higher in the US Dollar, as trade uncertainty dominates the sentiment ahead of President Trump’s SOTU speech.

GBP/USD regains 1.3500 and above

GBP/USD extends its advance for the third day in a row on Tuesday, this time retesting the area beyond the 1.3500 hurdle. Cable’s uptick comes despite decent gains in the Greenback and the dovish message from the BoE’s Bailey at the UK Parliament.

Gold appears offered around $5,150

Gold is giving back a good portion of the recent multi-day rally, receding to the $5,150 zone per troy ounce amid the decent bounce in the US Dollar and mixed US Treasuty yields. In the meantime, markets’ attention remain on upcoming comments from Fed speakers.

Ripple’s DeFi shift in focus: Navigating XRPL EVM sidechain growth, XRPFi migration and liquidity

Ripple (XRP) has continued to trade under pressure, extending its decline by approximately 63% from the record high of $3.66 in July. The remittance token is trading above support at $1.35, while its upside appears limited by key supply zones, starting with $1.40, at the time of writing on Tuesday.

The Citrini report: How a debatable AI narrative can shake Wall Street

That AI-related headline alone was enough to rattle investors.US stocks slid sharply on Monday after a widely circulated Citrini Research memo outlined a hypothetical “2028 Global Intelligence Crisis”, warning that rapid AI adoption could push US unemployment into double digits as early as by mid-2028.

XRP pressured by weak ETF flows and declining retail interest

Ripple (XRP) is edging lower, trading above its intraday low of $1.32 at the time of writing on Tuesday. The decline from its weekly opening of $1.39 reflects heightened volatility in the broader cryptocurrency market, accentuated by tariff-triggered uncertainty.