USD/JPY Analysis
US Dollar to Japanese Yen (USD/JPY) - Sell
The USD/JPY pair is attempting to break out around 144.30, demonstrating a strong bullish trend. The Fed Chair has indicated a gradual adjustment to monetary policy, emphasizing the likelihood of two 25-basis-point rate cuts within the year. Japan's retail sales increased by 2.8%, surpassing expectations, but industrial production fell by 3.3%, significantly below market forecasts.
EUR/USD Analysis
Euro to US Dollar (EUR/USD) - Strong Sell
The EUR/USD pair is showing signs of recovery after a decline the previous day, currently testing around 1.1140. Improvements in the PMI (Purchasing Managers' Index) for Germany and the Eurozone have been noted, with Germany rising from 40.3 to 40.6 and the Eurozone increasing from 44.8 to 45.0, both exceeding expectations. Eurozone inflation data for September is set to be released today at 11:00 (GMT+2), with an annual rate expected to decrease from 2.2% to 1.9%. This could further support the ECB's monetary easing.
GBP/USD Analysis
British Pound to US Dollar (GBP/USD) - Strong Sell
The GBP/USD pair is trading around 1.3375, lacking clear direction. The UK's GDP growth rate for the second quarter has slowed from 0.9% year-on-year to 0.7%, and from 0.6% quarter-on-quarter to 0.5%. This low growth rate raises the likelihood of further monetary easing by the Bank of England. In the U.S., the ISM manufacturing index is expected to rise from 47.2 to 47.5 points.
AUD/USD Analysis
Australian Dollar to US Dollar (AUD/USD) - Strong Sell
The AUD/USD pair maintains a stable upward trend around 0.6930. Australia's retail sales for August increased by 0.7%, exceeding the forecast of 0.4%. Additionally, comments from the Fed Chair suggest the possibility of two more rate cuts by the end of the year, providing support for the Australian dollar.
XAU/USD Analysis
Gold (XAU/USD) - Buy
Gold is attempting to break out around 2640.00. Following the Fed Chair's indication of gradual rate cuts, the U.S. dollar experienced a temporary strengthening, leading to a decline in gold prices during yesterday's trading. However, gold is currently trying to recover. The gold market continues to focus on U.S. employment statistics and inflation trends.
