
Dollar, Euro, Pound, Yen — Key Forex Drivers as Trade Truce Extends
United States. The U.S. dollar is losing ground against the euro and the pound but showing mixed dynamics versus the yen.
United States. The U.S. dollar is losing ground against the euro and the pound but showing mixed dynamics versus the yen.
The GBP/USD pair is currently correcting around 1.3548, with dynamics supported by the neutral trend of the US dollar, while the British pound gained value, primarily due to the recent interest rate cut by the Bank of England and positive macroeconomic data.
GBP/USD is consolidating around 1.3548. The move reflects a neutral U.S. dollar backdrop and a firmer pound, supported by the Bank of England’s recent rate cut and a batch of upbeat macro data.
AUD/USD slid to the 0.6500 handle following Australia’s June labor-market print.
USD/JPY is easing within a broader downtrend around 46.40, as the US dollar’s choppy performance keeps pressure on the pair while the yen struggles to recover in the absence of fresh top-tier data and amid uncertainty over the next policy steps.
USD: softer vs EUR, GBP, JPY Focus: Trump–Powell rhetoric, eurozone CPI, UK labor data, Japan CGPI, Australia wages, crude stoc
Asian session snapshot: ~147.44 · Preparing for a move toward 146.33
With the U.S. dollar easing, EUR/USD is trading around 1.1684. The euro is starting the week on a positive footing even as the macro flow is mixed. The headline backdrop also includes an EIA projection that Brent crude prices could slip below $50, a potential cross-asset drag on inflation expectations.
Since late last month, USD/CHF has been attempting to move higher and is now testing 0.8118 (Murray [5/8] level). The U.S. dollar is supported by President Donald Trump’s decision to extend the U.S.–China “trade truce” for another 90 days, until mid-November. During this period, reduced tariffs will remain in place — around 30.0% on Chinese imports and 10.0% on U.S. goods — while negotiations continue. This extension temporarily reduces the risk of a sharp escalation between the world’s two largest economies and the potential for a global downturn, reviving investor appetite for the dollar.
During the Asian session, USD/CAD is holding near 1.3774, supported by the U.S. dollar’s positive momentum.
USD/JPY is holding near 148.41, weighed down by the Japanese government’s revised economic outlook. Officials have lowered their FY2025 real GDP growth forecast from 1.2% to 0.7%, citing the impact of U.S. trade policy and accelerating inflation.