Here is what you need to know on Wednesday, September 27:
The US Dollar Index went into a consolidation phase above 106.00 early Wednesday after posting gains in the previous three trading days and touching a fresh 2023-high in the process. The modest improvement seen in risk mood makes it difficult for the US Dollar (USD) to continue to outperform its rivals mid-week. August Durable Goods Orders will be featured in the US economic docket and the US Department of Treasury will hold a 5-year Treasury note auction later in the day.
Although the data from the US revealed on Tuesday a further deterioration in consumer sentiment in September and a sharp decline in new home sales in August, the USD managed to hold its ground amid the bearish action in Wall Street. In the European morning, US stock index futures gained traction and they were last seen rising between 0.3% and 0.4%.
US Dollar price this week
The table below shows the percentage change of US Dollar (USD) against listed major currencies this week. US Dollar was the strongest against the Swiss Franc.
| USD | EUR | GBP | CAD | AUD | JPY | NZD | CHF | |
| USD | 0.78% | 0.76% | 0.29% | 0.92% | 0.38% | 0.36% | 0.99% | |
| EUR | -0.78% | -0.01% | -0.48% | 0.15% | -0.38% | -0.40% | 0.23% | |
| GBP | -0.78% | 0.01% | -0.46% | 0.17% | -0.38% | -0.39% | 0.24% | |
| CAD | -0.30% | 0.47% | 0.45% | 0.62% | 0.08% | 0.06% | 0.69% | |
| AUD | -0.92% | -0.13% | -0.14% | -0.60% | -0.57% | -0.57% | 0.08% | |
| JPY | -0.38% | 0.41% | 0.39% | -0.09% | 0.55% | -0.01% | 0.62% | |
| NZD | -0.37% | 0.39% | 0.37% | -0.06% | 0.57% | 0.02% | 0.63% | |
| CHF | -1.00% | -0.23% | -0.24% | -0.69% | -0.08% | -0.61% | -0.64% |
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 Euro from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent EUR (base)/JPY (quote).
Inflation in Australia climbed to 5.2% on a yearly basis in August, the Australian Bureau of Statistics reported in the Asian session. This decision came in line with the market expectation and AUD/USD struggled to gain traction. At the time of press, the pair was trading modestly lower on the day slightly below 0.6400.
USD/JPY continued to edge higher and rose above 149.00 on Wednesday. The Bank of Japan's minutes of the September policy meeting showed earlier in the day that members agreed to maintain current monetary easing to stably, sustainably hit the price target. Meanwhile, Japanese Finance Minister Shunichi Suzuki repeated that they are watching the developments in the foreign exchange market with a sense of urgency.
EUR/USD posted its lowest daily close since February below 1.0600 on Tuesday. Early Wednesday, the pair consolidates its weekly losses above 1.0550.
GBP/USD dropped to a new multi-month low of 1.2136 in the late Asian session on Wednesday before stabilizing near 1.2150.
USD/CHF rose toward 0.9200 and touched its highest level in six months on Wednesday. The Swiss National Bank (SNB) will publish its Quarterly Bulleting for the third quarter later in the day.
Gold price extended the weekly slide and declined below $1,900 for the first time in five weeks early Wednesday. The benchmark 10-year US Treasury bond yield hold steady at multi-year highs at around 4.5%, not allowing XAU/USD to stage a rebound.
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 hits fresh three-month highs above 1.0970 as USD slides
EUR/USD rose above 1.0970, reaching the highest intraday level since August 11. The pair holds near the highs, supported by broad-based US Dollar weakness as market participants await comments from Federal Reserve officials and US housing data.
GBP/USD rises toward 1.2650 as DXY hits fresh monthly lows
GBP/USD rose from daily lows to 1.2648, the strongest level since early September on the back of a weaker US Dollar. The DXY trades near 103.00 at the lowest in almost three months ahead of comments from Fed officials.
Gold price extends its consolidative price moves amid a modest USD recovery
Gold price struggles to build on the overnight breakout momentum through a key barrier. A positive risk tone caps gains amid a modest recovery in the US bond yields and the USD.
Dogecoin price might recover losses if volume picks up
Dogecoin has noted a massive rise in wallet addresses with a non-zero balance. This increase is typical of rising demand among market participants for DOGE. On-chain metrics paint a bullish outlook for Dogecoin.
Eurozone bank lending continues to weaken as economy adjusts to higher rates
Loans to businesses are now 0.3% lower than in October last year, the first annual decline since July 2015. This confirms that monetary tightening is having a clear effect on the economy. A divide between countries is also opening up.