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FXStreet
Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.
GBP/USD declines toward 1.3200 in the second half of the day on Tuesday. Political uncertainty in the United Kingdom weighs on the British Pound, alongside weak business PMI data for June. Meanwhile, the US Dollar capitalizes on the risk-off mood and stronger-than-forecast PMI readings, making it difficult for the pair to find its footing.
EUR/USD comes under renewed selling pressure in the second half of the day on Tuesday and trades at its lowest level since June 2025 below 1.1400. Mixed PMI data from Germany and the Eurozone makes it difficult for the Euro to find demand, while the risk-averse market atmosphere and the upbeat PMI prints support the USD, forcing the pair to stay on the back foot.
Gold (XAU/USD) turns south following Monday's rebound and trades deep in the red near $4,100 on Tuesday. Despite positive signals from US-Iran peace talks, widespread skepticism remains toward a final deal and weighs on the precious metal. In the meantime, the USD gathers strength on hawkish Fed expectations and drags XAU/USD lower.
The cryptocurrency market is experiencing broad-based declines on Tuesday, as Bitcoin retests support at $62,000, Ethereum extends losses toward $1,600, and Ripple remains anchored near the key $1.10 demand zone.
Warsh’s hawkish debut sparks sharp repricing in Fed funds futures. Inflation is front and centre as September hike now seen likely. Will PCE report due Thursday, 12:30 GMT, support the hawkish bets?
The rate did not move. That was the least interesting thing about Kevin Warsh's first meeting in charge of the Fed. The FOMC held its benchmark at 3.50%-3.75% for the fourth straight meeting, exactly as priced, and then the new chair used his first press conference to dismantle the machinery the market has leaned on for a decade.
