Market Roundup
•US Crude Oil Imports 0.485M, no forecast, -0.399M previous
•US Gasoline Inventories 0.765M, -1.540M forecast, -1.533M previous
•US Gasoline Production 0.060M, -0.096M previous
•US Heating Oil Stockpiles 0.231M, 0.030M previous
Looking Ahead Economic Data (GMT)
• 02:30 Australia Unemployment Rate (Jun) 4.4% forecast,4.4% previous
• 02:30 Australia Employment Change (Jun) 16.4K forecast, 40.3K previous
• 02:30 Australia Full Employment Change (Jun) 5.2K previous
• 02:30 Australia Participation Rate (Jun) 66.7% forecast,66.7% previous
Looking Ahead Events And Other Releases (GMT)
•No Events Ahead
Currency Summaries
EUR/USD : The euro edged higher on Wednesday as investors awaited the European Central Bank’s policy decision on Thursday. The ECB is widely expected to keep interest rates unchanged, while leaving the door open for a potential September hike as rising energy prices threaten to add fresh inflationary pressure.The central bank raised rates in June and signalled that further tightening could follow, but a series of softer data on inflation, wages, economic activity and inflation expectations has reduced the urgency for an immediate follow-up move. Markets are now pricing in two to three additional rate hikes, with the first fully priced in by October and the second expected by April next year.Immediate resistance can be seen at 1.1497(Higher BB), an upside break can trigger rise towards 1.1526(50%fib).On the downside, immediate support is seen at 1.1437(38.2%fib), a break below could take the pair towards 1.1324(23.6%fib).
GBP/USD: Wednesday The pound was little changed on Wednesday as traders assessed softer UK inflation data and rising UK fiscal uncertainty. UK consumer prices rose 2.6% year-on-year in June, slowing from 2.8% in May and marking the weakest annual increase since March 2025.Prime Minister Andy Burnham ruled out unfunded commitments to change the tax-free personal allowance, saying any tax decisions would be made at the government’s next fiscal update in the coming months. Recent data has highlighted the limited scope for additional spending, with the UK’s day-to-day spending deficit reaching £42 billion in the first quarter of the tax year, £1.3 billion above budget forecasts as the government seeks to balance spending with tax revenues by the end of the decade.. Immediate resistance can be seen at 1.3454(Daily high), an upside break can trigger rise towards 1.3485(50%fib).On the downside, immediate support is seen at 1.3343(38.2%fib), a break below could take the pair towards1.3296(SMA 20).
USD/CAD: The Canadian dollar edged higher against its U.S. counterpart on Wednesday as oil prices rose, but the move was limited as investors contended with increased trade uncertainty.Oil, one of Canada's key exports, climbed to a near six-week high on mounting concerns that escalating U.S.-Iran hostilities could disrupt Middle East supply routes.Prime Minister Mark Carney said late Tuesday he and Donald Trump agreed to intensify trade negotiations after the U.S. president unveiled plans for 50% tariffs on a wide range of Canadian imports.Trump escalated trade tensions with Canada by imposing 50% tariffs on a broad range of goods, effective August 19, citing disputes over autos, dairy and provincial alcohol policies.On the data front, Canadian retail sales data for May, due Thursday, is expected to show a 1.0% rise, adding to signs of a second-quarter economic rebound.Immediate resistance can be seen at 1.4122(38.2%fib), an upside break can trigger rise towards 1.4143(SMA 20).On the downside, immediate support is seen at 1.4006(38.2%fib), a break below could take the pair towards 1.39821(Lower BB).
USD/JPY: The dollar eased slightly against the yen on Wednesday continued to assess the risk of Japanese intervention and the possibility of faster Bank of Japan rate hikes. The yen weakened to 163.23 per dollar on Tuesday, its lowest level since December 1986, as investors adjusted to the evolving policy landscape under Prime Minister Sanae Takaichi’s administration, which has faced concerns that it could pressure the BOJ to delay further tightening.Markets are currently pricing in around 27 basis points of additional BOJ rate hikes this year. Finance Minister Satsuki Katayama has warned that authorities would take decisive action if needed to address excessive yen weakness. Tokyo previously intervened in currency markets in April and May when the yen breached the 160-per-dollar level. Immediate resistance can be seen at 163.26(23.6%fib) an upside break can trigger rise towards 163.67(Higher BB) .On the downside, immediate support is seen at 162.16(SMA 20) a break below could take the pair towards 160.61(38.2%fib).
Equities Recap
European shares closed at a two-week high on Wednesday, boosted by energy and defence stocks, while Randstad surged after exceeding quarterly revenue expectations..
UK's benchmark FTSE 100 closed up by 1.24 percent, Germany's Dax ended up by 0.58 percent, France’s CAC finished the day up by 0.89 percent.
The Nasdaq led Wall Street lower on Wednesday as mixed tech performance weighed on markets ahead of key earnings reports testing the AI-driven rally.
Dow Jones closed down by 0.01% percent, S&P 500 closed down by 0.14% percent, Nasdaq settled down by 0.57% percent.
Commodities Recap
Gold climbed to a two-week high on Wednesday, supported by a weaker dollar and safe-haven demand amid Middle East tensions and Fed rate uncertainty.
Spot gold gained 1.7% to $4,145.24 per ounce by 1:35 p.m EDT (1641 GMT), having hit its highest level since July 7 at $4,165.87 per ounce earlier in the day. U.S. gold futures for August delivery settled 1.9% higher at $4,151.90.
Oil prices settled at their highest since June 11 on Wednesday as escalating U.S.-Iran tensions and Houthi threats to shipping raised supply disruption concerns.
Brent crude futures settled up $3.06, or 3.36%, at $94.07 a barrel, their highest in just shy of six weeks, after hitting a session high of $95.47.
