US dollar slipped to fresh cycle lows during Asia trading hours
The US dollar is mixed against its peers amidst month-end trading and as the UK is on bank holiday resulting in less liquid market conditions. The Bloomberg Dollar Index is on track for a fifth monthly decline, the longest losing streak in 3 years. News from Japan on Friday indicated that the Prime Minster has resigned. The Japanese yen has weakened against its peers as the country searches for a replacement.
Wednesday: US Durable Goods Orders; US ADP Employment Change
Thursday: US Initial Jobless Claims
Friday: US Change in Nonfarm Payrolls; CA Unemployment Rate
August 31, 2020
EUR/USD 1.1933 GBP/USD 1.3320 USD/CAD 1.3067 AUD/USD 0.7363 USD/JPY 106.00 USD/CNH 6.8475 USD/ILS 3.3593 USD/MXN 21.8698 USD/CHF 0.9024 USD/INR 73.6200
USDThe US dollar is trading mixed against its peers amidst month-end trading. A statement from Minneapolis Fed President Neel Kashkari signaled there is no urgency for the central bank to offer clarity on how long rates will remain near zero as investors are aware that the Fed will not be tightening for a while.GBPThe UK is closed today on bank holiday resulting in less liquid market conditions. GBP/USD trades near daily lows close to the 1.33 level as markets refocus on Brexit.EUREUR/USD is up 1.4% this month and is trading near 1-year high of 1.1965. The push higher comes amidst broad USD weakness and month end trading.CADThe loonie is headed for a fifth day of gains as commodity prices trade higher on data showing continued recovery of the China economy. USD/CAD fell to a low of 1.3060 and the pair is on pace for longest declining streak in almost 8 months.ASIA/PACIFICUSD/JPY retreats from Friday lows strengthening above the 106 handle as investors look beyond politics in Japan and amidst month-end flows. The Japanese yen weakens against its peers as the country’s Prime Minster stepped down on Friday and the nation looks to replace him. AUD/USD rose slightly before reversing on news that China is escalating its exchange with Australia over wine subsidies.
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