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USD/JPY treads water on Tuesday as the Japanese Yen (JPY) struggles to find its footing, facing headwinds from a firmer US Dollar (USD) and elevated Oil prices. At the time of writing, the pair trades around 159.24 after hitting an intraday low of 158.92.Rabobank’s strategists observe that “the joint Japanese-US intervention in the JPY exchange rate is starting to lose its grip on the currency.” While “the prospect of further FX interventions continues to provide some support,” they point out that “USD/JPY is gradually drifting higher, and the currency has reversed about half of the peak-to-trough move versus both EUR…

The rupee declined 13 paise to settle at 95.43 (provisional) against the US dollar on Tuesday, tracking a sharp rise in global crude oil prices amid geopolitical uncertainties.However, recent foreign capital inflows provided some support to the local unit, forex traders said.At the interbank foreign exchange market, the rupee opened at 95.38 against the US dollar and traded in a very narrow range of 95.37-95.45. Eventually it settled at 95.43 (provisional), down 13 paise from its previous close.The rupee declined 13 paise to settle at 95.30 against the US dollar on Monday.”The rupee declined on a surge in crude oil…

The Indian rupee slipped to its weakest level in nearly two weeks on Tuesday as oil prices jumped on fading hopes for a U.S.-Iran deal to end the war and reopen the Strait of Hormuz.Likely dollar selling intervention by the Reserve Bank of India, though, helped limit the ‌currency’s losses, ⁠traders said.Wedged ⁠between the competing forces, the currency closed out the day’s session at 95.4350 ​per dollar, down 0.15% from its previous close.The worries also dented equities, with the ​Nifty 50 down 0.5% and the benchmark 10-year bond sliding, pushing its yield 3 basis points higher.India is seen as particularly…

TD Securities’ Prashant Newnaha and Alex Loo note that the Reserve Bank of Australia left the cash rate at 4.35% in a unanimous decision, with the Statement and updated forecasts sounding less hawkish than expected. However, Governor Bullock emphasized that another hike remains possible if upside inflation risks materialize, leaving the Australian Dollar sensitive to incoming data and RBA communications.Hawkish hold with upside inflation risks”The RBA kept the cash rate on hold at 4.35% as expected in a unanimous decision. The Statement read less hawkishly than anticipated and the revised forecasts imply a less hawkish stance too. However, the Press…

EUR/JPY depreciates after registering modest gains in the previous day, trading around 183.80 during the Asian hours on Tuesday. The Relative Strength Index (14) at 47.63 sits just below the neutral 50 line, hinting at ongoing bearish momentum without yet reaching oversold conditions.The EUR/JPY cross is holding a mildly bearish near-term bias as it remains below the 50-day Exponential Moving Average (EMA) while it is positioned just above the nine-day EMA. This configuration suggests the cross is caught between short-term support and overhead trend resistance, with price action vulnerable to further downside while the longer EMA caps the topside.The initial…

SINGAPORE – The yen steadied on Tuesday after a sharp drop in the previous session as the joint U.S.-Japan intervention failed to deliver a lasting boost, while the Australian dollar was at an eight-week high ahead of a policy decision from the country’s central bank. The yen firmed to 158.93 per U.S. dollar in Asian hours, but remained further away from the three-month high of 155.20 hit last week in the wake of the rare U.S.-Japan yen-buying intervention at the end of July.The joint effort ‌came after the yen ⁠hit ⁠a 40-year low of 163.99 per dollar but the yen…

The Reserve Bank of Australia (RBA) is on track to keep the Official Cash Rate (OCR) steady at 4.35% for the second consecutive meeting on Tuesday.The decision will be announced at 04:30 GMT, accompanied by the Monetary Policy Statement (MPS) and updated economic forecasts. RBA Governor Michele Bullock’s press conference will follow at 05:30 GMT.The Australian Dollar (AUD) is set to experience volatility around the RBA policy announcement and Bullock’s press conference, with markets focused less on the widely expected hold and more on signals about the central bank’s next policy move, as softer-than-expected inflation data could cloud the central…

The Dow Jones Industrial Average trades near 54,000 on Monday, lower by a tenth of a percent inside a range of barely 200 points, the narrowest daily bar in weeks. Every price of the session sits inside Friday’s range, and Friday’s sat inside Thursday’s. The index is neither extending last week’s record nor handing it back. It is waiting for Wednesday.The largest single-name move of the session belongs to a company outside the average, which is the shape most sessions have taken lately. Intel (INTC) fell 3% after saying it would sell 15 billion Dollars of common stock, and none…

The Indian rupee is unlikely to breach 96 per dollar this financial year, with measures to attract dollar flows and falling commodity prices helping contain downside risks, according to Credit Agricole CIB India’s treasury head.The French lender’s models peg the rupee’s fair value at 96 per U.S. dollar, and it expects the currency to trade in a 94-96 range this ‌financial year.The ⁠local currency ⁠ended at 95.30 against the dollar on Monday.”After a sharp move, upside risks (to USD/INR) now seem more ​contained than before, largely on account of the measures undertaken by the central bank and the government ​to…

BNY’s Wee Khoon Chong highlights that long-end JGB yields are rising on inflation and fiscal concerns, with markets pricing a roughly 50% chance of a 25bp BoJ hike in September and a full hike by year-end. The BoJ’s July MPM Summary of Opinions signals accommodative conditions but a tilt toward further tightening, with risks of larger hikes if action is delayed.BoJ debate shifts to overshoot risks”Long-end JGB pressure is building. Inflation risks and fiscal concerns have pushed long-end JGB yields toward the upper end of recent ranges.””Several members argued that the bank should keep the policy rate unchanged at this…