|

Forex Today: US Dollar firms ahead of Jackson Hole

Here is what you need to know for Thursday, August 27:

The US Dollar (USD) firmed on Wednesday, with the US Dollar Index (DXY) climbing toward 99.20 as traders squared positions ahead of the Jackson Hole Symposium.

Risk sentiment improved on reports of a US-Iran ceasefire that would reopen the Strait of Hormuz, which sapped demand for Gold as the US Dollar advanced. The Australian Dollar was the notable exception among the majors, clinging to gains after this week's hotter-than-expected inflation data.

US Dollar Price Today

The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the New Zealand Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD0.19%0.40%0.11%0.25%-0.13%0.55%0.47%
EUR-0.19%0.22%-0.06%0.11%-0.31%0.37%0.29%
GBP-0.40%-0.22%-0.28%-0.13%-0.53%0.16%0.07%
JPY-0.11%0.06%0.28%0.13%-0.25%0.44%0.34%
CAD-0.25%-0.11%0.13%-0.13%-0.38%0.32%0.21%
AUD0.13%0.31%0.53%0.25%0.38%0.71%0.59%
NZD-0.55%-0.37%-0.16%-0.44%-0.32%-0.71%-0.10%
CHF-0.47%-0.29%-0.07%-0.34%-0.21%-0.59%0.10%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).

EUR/USD gave back ground, drifting toward the mid-1.1600s as the firmer Greenback and caution ahead of the European Central Bank (ECB) accounts weighed.

GBP/USD bore the brunt of the move, sliding back below the 1.3600 mark.

USD/JPY held firm north of the 159.00 barrier, edging higher ahead of the Tokyo inflation figures.

AUD/USD bucked the trend, holding modest gains in the low-0.7100s after the week's hot Australian inflation.

Gold has lost its grip, sliding back to trade near $4,600 per troy ounce as easing Gulf tensions and a stronger US Dollar sapped safe-haven demand.

West Texas Intermediate (WTI) Oil pushed higher, firming past $82.00 per barrel.

The Asian session opens with Australia's second-quarter Private Capital Expenditure, seen stalling after a strong prior reading, a release that could sway the Aussie following its inflation-driven gains. The main event in Europe is the European Central Bank (ECB) Monetary Policy Meeting Accounts, which traders will scour for guidance on the path for rates. Germany's GfK Consumer Confidence Survey is also due.

In the US, Initial Jobless Claims are expected to tick up slightly to around 208K, alongside Canada's second-quarter Current Account. The Jackson Hole Symposium looms over the session, where the keynote central bank address from Fed Chair Kevin Warsh is the week's main risk event for the US Dollar.

Author

Agustin Wazne

Agustin Wazne joined FXStreet as a Junior News Editor, focusing on Commodities and covering Majors.

More from Agustin Wazne
Share:

Editor's Picks

GBP/USD remains offered below 1.3600

GBP/USD resumes its decline, reversing Tuesday’s bullish attempt and breaking below 1.3600 the figure on Wednesday. Cable’s marked pullback follows a firm advance in the Greenback as investors continue to assess latest US data as well as the geopolitical landscape.

EUR/USD bounces off lows, retests 1.1650

EUR/USD now manages to regain some balance, trimming earlier losses and reclaiming the mid-1.1600s in the latter part of Wednesday’s NA session. The pair’s retracement comes on the back of a solid performance of the US Dollar, as market participants gear up for upcoming key US data releases and Chair Warsh’s speech at the Jackson Hole Symposium.

Gold puts $4,600 to the test amid USD gains

Gold now faces some renewed downside pressure and seems to challenge the key $4,600 mark per troy ounce on Wednesday. That said, the yellow metal’s correction comes after three daily upticks in a row, fading at the same time the recent move to fresh tops around $4,700. The stronger US Dollar and a decent rebound in US Treasury yields across the curve continue to weigh on bullion.

Bitcoin recovery stalls near $80,000 as ETF inflows mount, whale demand strengthens

Bitcoin price is trading in the green on Wednesday, holding above $78,000 while struggling to extend its recovery above the $80,000 mark. Institutional demand is strengthening, with steady inflows and BlackRock’s tax-deferred Bitcoin-to-ETF swap volume reaching $5 billion.

Nvidia: How will the company perform as its switches from a chip maker to an AI finance house?

The main event for markets this week takes place this evening, after US markets close. Nvidia, the AI giant, will report results for last quarter. Another monster report is expected. Revenues could come in above $92bn, and earnings per share could come in at $2.09.

Kevin Warsh’s Jackson Hole dilemma: Say too much, too little, or just enough

Kevin Warsh is preparing to deliver his first Jackson Hole speech as Federal Reserve (Fed) Chair on Friday, and expectations extend well beyond whether interest rates will be raised or left unchanged in September.