Risk-Off Sentiment Lifts USD Across FX Markets

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Forex Market 

USD Strength Persists as Equity Markets Weaken; AUD Remains Under Pressure 
Global markets saw another soft session, keeping the USD supported while risk-sensitive currencies struggled. AUD/USD traded in a tight 0.6599–0.6635 range, drifting lower through NY trade as Wall Street losses deepened. EUR/USD was volatile, initially falling to 1.1703 before rebounding to 1.1758, while GBP/USD dipped after weaker UK CPI but later recovered above 1.3400. USD/JPY pushed to fresh highs near 155.67 as yields remained elevated.

General Market

Wall Street
  • Dow Jones -0.4% | 47,943
  • S&P 500 -1.0% | 6,732
  • Nasdaq -1.5% | 22,772
  • VIX +6.1% | 17.49
Asia-Pacific
  • Nikkei +0.3% | 49,512
  • Shanghai Composite +1.2% | 3,870
  • ASX 200 -0.2% | 8,585
Europe
  • FTSE 100 +0.9% | 9,774
  • DAX -0.5% | 23,961
  • CAC 40 -0.2% | 8,086

 

Headlines to Watch

New Zealand
  • Strong Q3 GDP expected, reinforcing expectations for an accelerating recovery and keeping two RBNZ rate hikes priced in for next year.
Eurozone
  • ECB widely expected to hold rates at 2%, with focus on revised growth and inflation forecasts during Lagarde’s press conference.
United Kingdom
  • BOE decision finely balanced; while markets price a high chance of a 25bp cut, the vote may be close with Governor Bailey pivotal.
United States
  • CPI data remains key for rate expectations as equities struggle and yields remain elevated.

Mid-market rates

Currency PairMid-market Rate
AUD/USD0.6604
AUD/NZD1.1444
AUD/JPY102.71
AUD/CNY4.6511
AUD/EUR0.5624
AUD/GBP0.4936
AUD/HKD5.1377

 

 

 

 

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