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AUD/USD holds gains after two days of losses, trading around 0.6910 during the Asian hours on Monday. The technical analysis of the daily chart indicates that the pair remains within a descending wedge pattern, suggesting that selling pressure is gradually weakening as lower highs and lower lows converge. This structure often reflects a loss of bearish momentum, increasing the likelihood of a bullish breakout.However, the 14-day Relative Strength Index (RSI) is around 43, suggesting a bearish bias, with momentum slipping below the midline after failing to sustain earlier strength. Moreover, the near-term bias is bearish as the AUD/USD pair holds…

The USD/JPY pair trades on a flat note near 159.65 during the early Asian session on Monday. The pair steadies as traders continue to assess the developments surrounding the US-Iran conflict. The US ISM  Services Purchasing Managers Index (PMI) report for March will be in the spotlight later on Monday. US President Donald Trump on Sunday threatened to destroy Iran’s power plants starting Tuesday and bring “Hell” to the country after US forces rescued an airman from Iran more than a day after his fighter jet was shot down.Iran rejected Trump’s latest ultimatum to reopen the Strait of Hormuz, adding that…

Mumbai: Amid longer voyages, uncertainties, and delays in payments and cargo movements, banks want Reserve Bank of India (RBI) to clear the air as its last week’s diktat to back the rupee could backfire on genuine trades.Bankers met over the weekend to discuss this, some sent feelers to RBI, and the issues would be formally raised by an industry body, two persons told ET.Corporates have been banned by RBI from cancelling and rebooking forward contracts. Why? Exporters who had sold dollars forward (i.e., at a future date), say, at 91 or 92 to protect earnings from exchange rate fluctuations, were…

The GBP/USD extended its losses for the second straight day, down 0.12% after a stellar US Nonfarm Payrolls report, which could refocus the Federal Reserve on battling higher inflation that has remained above target for five years. At the time of writing, the pair trades at 1.3205.Strong payrolls and firmer yields keep Sterling on the back footThe US Bureau of Labour Statistics (BLS) revealed that the economy created over 178K jobs in March, crushing forecasts of 60K. Despite the positive reading, February’s print was further downwardly revised to -133K, but on a positive note, the Unemployment Rate also fell to…

USD/JPY trades with a mild downside bias on Friday as lingering intervention fears support the Japanese Yen (JPY), even as the US Dollar (USD) remains firm against its major peers following the upside surprise in US Nonfarm Payrolls (NFP) data. Thin liquidity conditions due to the Good Friday holiday are also contributing to muted and choppy price action.At the time of writing, USD/JPY is trading around 159.57, easing modestly after a brief spike to 159.82 in reaction to the US labor data.According to data released by the US Bureau of Labor Statistics, the US economy added 178K jobs in March,…

The US S&P Global Services PMI in March reported that business activity in the sector is slowing sharply, falling to contractionary territory for the first time since January 2023, amid higher inflation and the war in the Middle East.The index fell from 51.7 in February to 49.8, according to S&P. They noted that, “Overall, it was the lowest index reading for over three years and consistent with a fractional contraction in activity.” Rising input prices due to the surge in energy costs are one of the reasons that are weighing on the services sector, as the report read, “the latest price…

AUD/USD reverses earlier gains on Friday as stronger-than-expected US Nonfarm Payrolls (NFP) data supports the US Dollar (USD), adding modest pressure on the Australian Dollar (AUD), while price action remains subdued amid thin liquidity due to the Good Friday holiday.At the time of writing, AUD/USD is trading around 0.6900, after touching an intraday high of 0.6916. Meanwhile, the US Dollar Index (DXY), which tracks the Greenback’s value against a basket of six major currencies, is consolidating gains above the 100 mark.According to data released by the US Bureau of Labor Statistics, the US economy added 178K jobs in March, comfortably…

The USD/CAD rises some 0.14% on Friday after an outstanding employment report in the US, which nearly tripled economists’ projections, according to the US Bureau of Labor Statistics (BLS). At the time of writing, the pair trades at 1.3936 on thin liquidity trading as most global markets remain shut due to Good Friday.Strong payrolls revive Fed hold bets as BoC tightening eyedNonfarm Payrolls in March rose by 178,000, exceeding forecasts of 60,000, up from February’s downwardly revised figures of -133,000. The Unemployment Rate fell two ticks to 4.3%, below the Federal Reserve’s 4.5% long-run target, which means the central bank’s…

India’s forex reserves declined by $10.29 billion to $688.06 billion for the week ended March 27, marking the second consecutive weekly drop | Photo Credit: LEE JAE WON India’s forex reserves dropped by $10.288 billion to $688.058 billion during the week ended March 27, the Reserve Bank of India (RBI) said on Friday.In the previous reporting week, the overall reserves had declined by $11.413 billion to $698.346 billion.The kitty had expanded to an all-time high of $728.494 billion during the week ended February 27 this year, before the onset of the West Asia conflict.The rupee has come under pressure since…

EUR/USD trades in a tight range on Friday as a stronger-than-expected US Nonfarm Payrolls (NFP) report lends support to the US Dollar (USD), while the Euro (EUR) holds relatively steady amid thin liquidity conditions due to the Good Friday holiday.At the time of writing, the pair trades around 1.1534, remaining on the back foot for the second straight day after rising to a one-week high of 1.1627 on Wednesday. Meanwhile, the US Dollar Index (DXY), which tracks the Greenback’s value against a basket of six major currencies, is hovering near the 100 mark.According to data released by the US Bureau…