Here is what you need to know on Monday, June 19:
The US Dollar (USD) holds steady early Monday after having suffered large losses against its major rivals last week. Stock and bond markets in the US will be closed in observance of the Juneteenth holiday. The European economic docket will not be featuring any high-impact data releases and market participants will pay close attention to comments from central bank officials.
The US Dollar Index (DXY) fell more than 1% and closed the third straight week in negative territory before going into a consolidation phase above 102.00 in the European session. The benchmark 10-year US Treasury bond yield fluctuated wildly following the Federal Reserve's (Fed) monetary policy announcements but ended the week little changed below 3.8%.
On Sunday, US Secretary of State Antony Blinken and Chinese Foreign Minister Qin Gang reportedly had "candid and constructive talks" on their differences from Taiwan to trade. Sides are said to have agreed on little beyond keeping the conversation going with an eventual meeting in Washington, reported Reuters.
EUR/USD gained nearly 200 pips last week, boosted by the broad-based USD weakness and the European Central Bank's (ECB) hawkish rhetoric. ECB Chief Economist Philip Lane and Governing Council member Isabelle Schnabel will be delivering speeches later in the day. At the time of press, the pair was seen consolidating last week's gains slightly below 1.0950.
GBP/USD surged to its highest level since April 2022 at 1.2850 last week. The pair stays relatively quiet early Monday, moving up and down in a narrow range slightly above 1.2800. On Wednesday, the UK's Office for National Statistics will release inflation data for May ahead of the Bank of England's (BoE) monetary policy announcements on Thursday.
USD/JPY registered its highest weekly close since November as it failed to benefit from the USD's dismal performance. The resilience of the US T-bond yields and the Bank of Japan's (BoJ) dovish tone allowed the pair to gain traction in the second half of the week. USD/JPY was last seen moving sideways above 141.50.
Gold price closed the previous week virtually unchanged, slightly above $1,950. XAU/USD is having a difficult time finding direction early Monday.
AUD/USD edges lower but holds above 0.6850 in the European morning. The People's Bank of China (PBoC) is expected to announce a rate cut early Tuesday.
USD/CAD fell below 1.3180 and touched its lowest level since September on Friday. The pair clings to small recovery gains at around 1.3200 on Monday.
Bitcoin fluctuated in a narrow channel over the weekend and extended its sideways action above $26,000 early Monday. Ethereum recovered from the three-month low it set at $1,620 mid-week last week and stabilized above $1,700.
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
AUD/USD holds losses near 0.6450 amid Australian politics; RBA eyed
AUD/USD keeps the red near 0.6450 in the Asian session on Tuesday as traders opt to wait for the RBA decision before placing fresh directional bets. A modest US Dollar uptick and Australian political drama undermine the Aussie even as the PBOC delivered the expected 10 bps Loan Prime Rate cuts.
USD/JPY drops back below 145.00 on likely Japan-US FX talks
USD/JPY has come under intense selling pressure and gives up 145.00 in the Asian session on Tuesday. The pair fades the upswing after Japan's Finance Minister Kato hinted at holding FX talks with US Treasury Secretary Bessent, which lifted the Japanese Yen.
Gold price drifts lower amid receding safe-haven demand, modest USD uptick
Gold price stalls the previous day's move higher near the $3,250 supply zone and edges lower during the Asian session on Tuesday. A positive risk tone undermines demand for traditional safe-haven assets and weighs on the bullion amid a slight USD recovery. However, Fed rate cut bets should cap the USD and support the non-yielding yellow metal amid persistent geopolitical risks.
Solana set for a consensus switch with the introduction of Alpenglow
Solana (SOL) showed signs of recovery in the American trading session on Monday following the introduction of a new consensus protocol, Alpenglow, which would replace the network's current Proof-of-History and TowerBFT mechanisms.
China April slowdown shows the impact of economic uncertainty
Trade war uncertainty is denting Chinese confidence, resulting in slower economic activity in April. Retail sales and fixed-asset investment both underperformed forecasts amid heightened caution. Yet the impact on manufacturing was less than feared.
The Best brokers to trade EUR/USD
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.