USD/JPY Strong Sell Currency of Interest and Technical Analysis (Hourly) October 3, 2024
Euro/US Dollar (EUR/USD)
The EUR/USD pair continues its short-term downtrend, reaching its lowest level since September 12th. It is currently testing a breakdown at 1.1030, while European investors are evaluating S&P Global’s September business activity data. The Manufacturing PMI rose from 48.9 to 49.6 points, surpassing expectations. Additionally, the Services PMI increased from 50.5 to 51.4 points. On the other hand, in the United States, ADP employment data exceeded market expectations, providing support for the US dollar. Labor market data scheduled for release this weekend in the US is expected to influence the Federal Reserve’s monetary policy.
British Pound/US Dollar (GBP/USD)
The GBP/USD pair maintains its downward momentum, developing strong bearish momentum since last weekend. Statements by Federal Reserve Chairman Jerome Powell have been a support factor for the US dollar. Powell has indicated support for future interest rate cuts while also showing a cautious approach to the pace of these cuts. In the UK, the September Services PMI slightly decreased from 52.8 to 52.4 points, meeting expectations.
New Zealand Dollar/US Dollar (NZD/USD)
The NZD/USD pair is exhibiting strong bearish momentum formed earlier in the week, attempting a breakdown at 0.6235. Market participants are awaiting the release of US unemployment claims and business activity data, which could drive new market movements. New Zealand’s economic data has been weaker than expected, potentially putting further pressure on the Reserve Bank of New Zealand (RBNZ) to implement additional monetary easing.
US Dollar/Japanese Yen (USD/JPY)
The USD/JPY pair is trading around 146.60, updating its highest level since August 20th. The US ADP employment data exceeded market expectations, providing support for the US dollar. Non-farm payroll data scheduled for release this weekend in the US is expected to influence the Federal Reserve’s interest rate policy ahead of the November meeting.
Gold/US Dollar (XAU/USD)
The XAU/USD pair is stable around 2650.00, with subdued market activity. Employment data to be released later this week in the US is attracting attention, as it may alter expectations regarding the Federal Reserve’s monetary policy. Additionally, geopolitical tensions continue to support gold prices, with missile attacks by Iran on Israel impacting the market.
