4/6/2021 11:51:30 AM GMT | By Haresh Menghani
A goodish pickup in the USD demand prompted some fresh selling around GBP/USD on Tuesday.
The upbeat US economic outlook, a softer risk tone drove some haven flows towards the USD.
Retreating US bond yields did little to cap the USD amid expectations for an earlier Fed rate hike.
The GBP/USD pair maintained its heavily offered tone through the mid-European session and was last seen hovering near the lower end of its daily trading range, around the 1.3825-20 region.
The pair witnessed a dramatic intraday turnaround on Tuesday and dropped nearly 100 pips from the 1.3920 region, or over two-week tops amid the emergence of some fresh buying around the US dollar. Investors remained optimistic about the prospects for a relatively strong US economic growth amid the impressive pave of coronavirus vaccinations. The incoming economic data, including the latest NFP report and Monday s ISM Services PMI
4/5/2021 11:43:57 AM GMT | By Haresh Menghani
EUR/USD witnessed a subdued/range-bound price action on the first day of a new week.
Concerns about the third wave of COVID-19 infections weighed on the common currency.
The upbeat market mood undermined the safe-haven USD and helped limit the downside.
The EUR/USD pair seesawed between tepid gains/minor losses through the mid-European session and remained confined in a narrow trading band around mid-1.1700s.
A combination of diverging forces failed to provide any meaningful impetus to the major and led to a subdued/range-bound price action through the first half of the trading action on Monday. Worries about the economic fallout from the third wave of COVID-19 infections in Europe kept the euro bulls on the defensive and capped the upside for the EUR/USD pair.
4/1/2021 7:53:56 AM GMT | By Haresh Menghani
USD/JPY remained confined in a narrow trading band through the early European session.
Retreating US bond yields kept the USD bulls on the defensive and capped gains for the pair.
The upbeat US economic outlook supports prospects for an extension of the recent move up.
The USD/JPY pair lacked any firm directional bias on Thursday and remained confined in a range, above mid-110.00s through the early European session.
A combination of factors failed to provide any impetus, rather forced the pair to consolidate its recent strong positive move to the 111.00 neighbourhood, or one-year tops touched on Wednesday. The yield on the benchmark 10-year US government bond retreated further from 14-month tops and slipped to the 1.70% threshold. This, in turn, kept the US dollar bulls on the defensive and capped the upside for the USD/JPY pair.