The US Dollar (USD) is giving away previous gains against the Swiss Franc (CHF), as the pair remains trapped within a roughly 70-pip range around 0.7900 on Monday, with upside attempts capped below the 0.7925-0.7930 area.
The Australian Dollar (AUD) bounced at session lows to 0.6990 against the safe-haven US Dollar (USD) on Monday to close a previous trading gap in the area of 0.7055.
Commerzbank’s Head of FX and Commodity Research Thu Lan Nguyen argues that, despite Iran’s Renminbi toll plans and geopolitical tensions, the US Dollar (USD) remains structurally dominant in trade and reserves.
The Pound Sterling (GBP) trades lower against its major currency peers, trading 0.25% lower to near 1.3425 against the US Dollar (USD) during the European trading session on Monday.
EUR/HUF falls sharply on Monday, with the Euro (EUR) weakening against the Hungarian Forint (HUF) as the cross slides to its lowest level since February 2022. The Forint strengthens across the board after a landslide election victory by opposition leader Péter Magyar boosts investor confidence.
The Indian Rupee (INR) falls sharply in the opening trade against the US Dollar (USD) at the start of the week.
Danske Research notes that Norway’s March core inflation remained at 3.0% year-on-year, slightly below consensus and in line with Norges Bank’s projection, while headline inflation printed at 3.6% year-on-year.
Brown Brothers Harriman’s (BBH) Elias Haddad notes that the US naval blockade of the Strait of Hormuz has pushed Brent Oil back above $100 and lifted the US Dollar (USD) as risk aversion returns.
EUR/JPY trades around 186.65 on Monday, down 0.08% at the time of writing, as risk aversion increases following the failure of talks between the United States (US) and Iran.
Silver prices (XAG/USD) fell on Monday, according to FXStreet data. Silver trades at $74.47 per troy ounce, down 1.75% from the $75.79 it cost on Friday.
United Overseas Bank (UOB) economists Quek Ser Leang and Lee Sue Ann notes that USD/JPY has surged on the open after a quiet Friday, with short-term momentum now strong enough to challenge the 160.00 handle, though 160.50 is seen as tough resistance.
ING’s Chris Turner writes that EUR/USD was pressured in Asia by higher Oil after failed peace talks, but notes the pair is holding above 1.1600.
