Asian equity markets opened mixed at the start of a new week as traders remain on edge amid the risk of a further escalation of tensions in the Middle East.
The United States (US), Iran and regional mediators are discussing terms for a possible 45-day ceasefire that could lead to an end of fighting, Bloomberg reported on Monday, citing Axios. The people, who were not named, said chances of reaching a deal over the next 48 hours are low.
AUD/USD holds gains after two days of losses, trading around 0.6910 during the Asian hours on Monday.
The USD/JPY pair trades marginally down at around 159.55 during the Asian trading session on Monday.
EUR/JPY moves little after registering modest losses in the previous trading day, hovering around 183.80 during the Asian hours on Monday.
The US Dollar Index (DXY), an index of the value of the US Dollar (USD) measured against a basket of six world currencies, currently trades near 100.25 during the Asian trading hours on Monday.
The AUD/JPY cross attracts some buyers to near 110.20 during the Asian trading hours on Monday. The Australian Dollar (AUD) edges higher against the Japanese Yen (JPY) on expectations of further interest rate hikes from the Reserve Bank of Australia (RBA).
West Texas Intermediate (WTI) – the benchmark US Crude Oil price – struggles to capitalize on modest Asian session gains to the $106.45 region, or a nearly four-week high, and retreats to the lower end of its daily range in the last hour.
Silver price (XAG/USD) holds losses for the third successive day, trading around $72.20 per troy ounce during the Asian hours on Monday.
The USD/CAD pair attracts some buyers for the third consecutive day on Monday and trades just below mid-1.3900s during the Asian session, well within striking distance of a nearly four-month high set last week amid a firmer US Dollar (USD).
The NZD/USD pair remains on the defensive near 0.5695 during the Asian trading hours on Monday. The US Dollar (USD) strengthens against the Kiwi as traders weigh developments in the Middle East. The Reserve Bank of New Zealand (RBNZ) policy meeting will be in the spotlight later on Wednesday.
GBP/USD remains subdued for the third consecutive trading day, hovering in the negative territory around 1.3190 during the Asian hours on Monday. The pair struggles as the safe-haven demand for the US Dollar (USD) increases amid heightened uncertainty in the Middle East.
