FX Today: Australian jobs report and UK GDP data come to the fore

Pablo Piovano FXStreet

The US Dollar (USD) added to its weekly correction, briefly slipping back to multi-day lows on the back of the renewed offered stance, a better tone in the risk complex and persistent bets on rate cuts by the Fed in the latter part of the year.

Here’s what to watch on Thursday, October 16:

The US Dollar Index (DXY) traded on the back foot for the second straight day on Wednesday, falling to multi-day troughs near 98.70 amid further retracement in US Treasury yields. The Philly Fed Manufacturing Index is due, seconded by the NAHB Housing Market Index and the EIA’s weekly report on US crude oil stockpiles. In addition, the Fed’s Barkin, Barr, Miran, Waller and Bowman are all due to speak.

EUR/USD picked up pace and regained the 1.1650 region amid further weakness hurting the Greenback. The Balance of Trade results in the broader Euroland are next on tap, alongside speeches by the ECB’s Donnery, Lane and Lagarde.

GBP/USD rose to weekly highs past 1.3400, leaving behind two daily pullbacks in a row. UK GDP figures take centre stage along with Industrial and Manufacturing Production, Balance of Trade, Construction Output, and the NIESR Monthly GDP Tracker.

USD/JPY extended its bearish leg to six-day lows in the sub-151.00 region, adding to Tuesday’s retracement. Machinery Orders and the Tertiary Industry Index are due ahead of the speech by the BoJ’s Tamura.

AUD/USD kept its weekly erratic performance, reversing Tuesday’s pullback and rebounding markedly to the 0.6520 zone. The labour market report will grab all the attention in Oz.

Prices of the american WTI added to Tuesday’s drop, approaching once again the $58.00 mark per barrel as traders continued to assess the expected surplus by the IEA in 2026 and the renewed US-China trade effervescence.

Gold prices clinched an all-time high near the $4,220 mark per troy ounce, always on the back of steady bets on rate cuts by the Fed, trade tensions and the softer US Dollar. Silver prices faded Tuesday’s downtick, briefly surpassing the key $53.00 mark per ounce.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

Markets move fast. We move first.

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

Editor's Picks

EUR/USD drops to daily lows near 1.1630

EUR/USD now loses some traction and slips back to the area of daily lows around 1.1630 on the back of a mild bounce in the US Dollar. Fresh US data, including the September PCE inflation numbers and the latest read on December consumer sentiment, didn’t really move the needle, so the pair is still on course to finish the week with a respectable gain.

GBP/USD trims gains, recedes toward 1.3320

GBP/USD is struggling to keep its daily advance, coming under fresh pressure and retreating to the 1.3320 zone following a mild bullish attempt in the Greenback. Even though US consumer sentiment surprised to the upside, the US Dollar isn’t getting much love, as traders are far more interested in what the Fed will say next week.

Gold makes a U-turn, back to $4,200

Gold is now losing the grip and receding to the key $4,200 region per troy ounce following some signs of life in the Greenback and a marked bounce in US Treasury yields across the board. The positive outlook for the precious metal, however, remains underpinned by steady bets for extra easing by the Fed.