|

Forex Today: USD on the defensive in Asia, UK Budget, Fed minutes in focus

Broad-based US dollar softness was the main underlying theme in Asia, as politics and CB speech continued to remain the key driving force. Among the Asia-pac currencies, the Yen benefited the most, after the greenback was hit by Yellen’s cautious remarks on inflation and reports of Kushner probe. Meanwhile, the Aussie was the weakest, as the Australian political headlines overshadowed upbeat Aus Q3 construction work done figures.

Among other related markets, the Asian stocks traded higher, led by the rally in the Japanese equities, while oil prices also witnessed fresh advances, with WTI up +1.62%.

Main topics in Asia

Janet Yellen's speech: Not certain that low inflation is transitory

As part of a larger series of conversations with former BOE Governor Mervyn King, Federal Reserve Yellen's comments are trickling through from an event taking place at New York University.

RBNZ considering the feasibility of alternative digital currency

Headlines crossed the wires earlier today, via Reuters, from the Reserve Bank of New Zealand (RBNZ), citing that the central bank is considering the feasibility of alternative digital currency.

Australia’s Senator Kakosche-Moore quits over dual citizenship

Citizenship saga may not be over, the Australian Senator Skye Kakosche-Moore quit, after he revealed he holds a dual citizenship, in the wake of last month’s Australia’s High Court ruling on citizenship.

BoJ offers to buy JPY 960 bln worth of JGBs

BoJ has offered to buy JPY 960 bln worth of JGBs, JPY 250 bln 1 - 3 year, JPY 300 bln 3 - 5 year and JPY 410 bln 5 - 10 year. 

Key Focus ahead

The EUR calendar remains absolutely data-dry today, and hence, all eyes remain on the UK’s Autumn Forecast Statement (Budget), which will be presented by the UK Chancellor Hammond ahead of the US open.

Barclays Research Team notes, “UK Chancellor Hammond will release the 2018 Budget on Wednesday, and we think that GBP risk is skewed to the downside. The OBR is likely to lower its GDP growth forecasts based on an assumption of slower productivity growth over the next four years. While it is possible that the OBR will persist with this optimistic view, we do not think that this augurs for GBP appreciation. Output per UK worker continues to disappoint and suggests that a downward revision is appropriate.”

In the NA session, the US durable goods, jobless claims and revised UoM consumer sentiment data will be reported ahead of the EIA crude inventories report and FOMC November meeting minutes release.

GBP/USD awaits range breakout on the UK Budget

After a choppy session witnessed a day before, the GBP/USD pair makes another attempt to break-out from the 100-pips range trade seen so far this week, with all eyes set on the UK’s Autumn Forecast Statement for the next direction.

EUR/USD: 1.1750 – a tough nut to crack, eyes on politics, US data

The EUR/USD pair extended its overnight side-trend into Asia, as the bulls consolidated yesterday’s reversal from 1.1713 levels amid a lack of fresh economic drivers and broad-based US dollar weakness.

FOMC November meeting minutes preview – Deutsche Bank

Analysts at Deutsche Bank provide a brief preview on their expectations from the FOMC November meeting minutes release scheduled later in the NA session today.

GMT
Event
Vol.
Actual
Consensus
Previous
Wednesday, Nov 22
08:00
 
 
12:00
 
 
3.1%
12:30
 
 
13:30
 
240K
249K
13:30
 
1.882M
1.860M
13:30
 
0.3%
2.2%
13:30
 
0.5%
0.7%
15:00
 
98.0
97.8
15:00
 
-0.8
-1.0
15:30
 
-2.167M
1.854M
17:00
 
 
-18B
19:00
 
 
Thursday, Nov 23
24h
 
 
08:35
 
 
09:00
 
55.2
55.0
09:00
 
58.3
58.5
09:00
 
56
56
09:30
 
0.4%
0.4%
09:30
 
1.5%
1.5%
09:30
 
 
2.5%
09:30
 
 
0.5%
11:00
 
 
-36%
12:30
 
 
18:15
 
 
Friday, Nov 24
09:30
 
 
41.584K
12:30
 
 
14:45
 
54.7
54.6
14:45
 
 
55.3
14:45
 
 
55.2
17:00
 
 
738
18:15
 
 
19:30
 
 
$152.6K
19:30
 
 
$195.1K
19:30
 
 
596.5K
19:30
 
 
£-4.5K
19:30
 
 
€84.6K
19:30
 
 
$44K

Author

Dhwani Mehta

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

More from Dhwani Mehta
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

EUR/USD recovers to 1.1750 region as 2025 draws to a close

Following the bearish action seen in the European session on Wednesday, EUR/USD regains its traction and recovery to the 1.1750 region. Nevertheless, the pair's volatility remains low as trading conditions thin out on the last day of the year.

GBP/USD stays weak near 1.3450 on modest USD recovery

GBP/USD remains under modest beairsh pressure and fluctuates at around 1.3450 on Wednesday. The US Dollar finds fresh demand due to the end-of-the-year position adjustments, weighing on the pair amid the pre-New Year trading lull. 

Gold retreats to $4,300 area, looks to post monthly gains

Gold stays on the back foot on the last day of 2025 and trades near $4,300, possibly pressured by profit-taking and position adjustments. Nevertheless, XAU/USD remains on track to post gains for December and extend its winning streak into a fifth consecutive month.

Bitcoin, Ethereum and XRP prepare for a potential New Year rebound

Bitcoin, Ethereum, and Ripple are holding steady on Wednesday after recording minor gains on the previous day. Technically, Bitcoin could extend gains within a triangle pattern while Ethereum and Ripple face critical overhead resistance. 

Economic outlook 2026-2027 in advanced countries: Solidity test

After a year marked by global economic resilience and ending on a note of optimism, 2026 looks promising and could be a year of solid economic performance. In our baseline scenario, we expect most of the supportive factors at work in 2025 to continue to play a role in 2026.

Crypto market outlook for 2026

Year 2025 was volatile, as crypto often is.  Among positive catalysts were favourable regulatory changes in the U.S., rise of Digital Asset Treasuries (DAT), adoption of AI and tokenization of Real-World-Assets (RWA).