Gold (XAU/USD) reversed Monday’s gains and resumed the broader bearish trend on Tuesday, testing support at the $4,100 level after failing to extend gains beyond $4,220 on Monday.
The Indian Rupee (INR) trades lower against the US Dollar (USD) on Tuesday.
Societe Generale analysts expect the Hungarian central bank Magyar Nemzeti Bank (MNB) to cut rates by 25 bps to 6.0%, citing improved sentiment after Peter Magyar’s election victory and an EU-friendly policy stance.
Societe Generale’s Kenneth Broux and colleagues highlight softer Eurozone PMI price data and a dovish tone from European Central Bank (ECB) President Lagarde as key drivers for EUR/USD. They see the 1.13-handle as in focus, with support around 1.1390 and 1.1350.
Iran reaffirmed its red line on military issues on Tuesday, as markets continue to monitor geopolitical developments in the Middle East.
TD Securities strategists note that Canadian headline Consumer Price Index (CPI) for May surprised to the upside, driven by energy and seasonal factors, while core measures remained stable near 2%.
The British Pound (GBP) pares Monday’s gains against the Japanese Yen (JPY) on Tuesday, weighed down by higher intervention risks and downbeat UK business activity figures.
The Japanese Yen (JPY) is picking up against the US Dollar (USD) on Tuesday after hitting lows a few pips above the 40-year low of 161.95 on Monday.
Silver prices (XAG/USD) fell on Tuesday, according to FXStreet data. Silver trades at $62.18 per troy ounce, down 4.47% from the $65.09 it cost on Monday.
BNY’s John Velis and David Tam argue that Chair Kevin Warsh is steering Federal Reserve communications toward less forward guidance and a stronger emphasis on price stability.
West Texas Intermediate (WTI) oil price extends losses for the second consecutive day, trading around $73.40 per barrel during the European hours on Tuesday. However, Crude oil prices pare its daily losses over persisting uncertainty surrounding Iran's nuclear program.
The GBP/USD pair adds to its modest intraday losses and touches a fresh daily low, around the 1.3215-1.3210 region during the first half of the European session.
