America’s Roundup: US dollar inches lower as dovish Powell comments offset upbeat jobs data, Wall Street ends higher, Gold dips,Crude falls as Hurricane Beryl fears fade

Market Roundup

•US Redbook (YoY) 5.8%,5.3% previous

 • Canada Jun Manufacturing PMI 49.3   ,50.2 forecast,49.3 previous

•US May JOLTs Job Openings 8.140M, 7.960M forecast,8.059M previous

•US IBD/TIPP Economic Optimism 44.2,41.2 forecast,40.5 previous

 Looking Ahead Economic Data(GMT)

•01:30 Australia May Private House Approvals  -1.6% previous

•01:30 Australia May Building Approvals (MoM)  1.5% forecast,-0.3% previous

•01:30 Australia May Retail Sales (MoM)  0.3% forecast,   0.1% previous

•01:30 China June Caixin Services PMI    53.4 forecast,     54.0 previous

Looking Ahead Events And Other Releasesn(GMT)

•No Events Ahead

Currency Summaries

EUR/USD: The euro rebounded  against dollar on Tuesday  after Federal Reserve Chair Jerome Powell struck a moderately dovish tone in his comments, suggesting that the U.S. central bank is more than likely to start its easing cycle later this year.Powell, in a monetary policy conference in Portugal, said the U.S. economy has made significant progress on inflation as it gets back on the disinflationary path. Comments by the Fed's top official outweighed data showing U.S. job openings increased in May after posting outsized declines in the prior two months. Job openings, a measure of labor demand, rose 221,000 to 8.140 million on the last day of May, according to the Job Openings and Labor Turnover Survey or JOLTS report. Immediate resistance can be seen at 1.0750(50% fib), an upside break can trigger rise towards 1.0776(July 1st high). On the downside, immediate support is seen at 1.0711(38.2% fib), a break below could take the pair towards 1.0682(23.6% fib).

GBP/USD: The pound rose   on Tuesday as the U.S. currency  declined after dovish comments from Federal Reserve Chair Jerome Powell. The U.S. is back on a "disinflationary path, Federal Reserve Chair Jerome Powell said on Tuesday, but policymakers need more data before cutting interest rates to verify that recent weaker inflation readings provide an accurate picture of the economy. The U.S. job openings and labor turnover survey, or JOLTS, showed job openings increased in May after posting outsized declines in the prior two months, but layoffs picked up amid slowing economic activity. Following the JOLTS report and Powell's comments, U.S. rate futures have priced in a 69% chance of a rate cut in September, up from about 63% on Monday . Immediate resistance can be seen at 1.2688(38.2%fib), an upside break can trigger rise towards 1.2749(23.6%fib).On the downside, immediate support is seen at 1.2643(50%fib), a break below could take the pair towards 1.2599(61.8% fib).

USD/CAD: The Canadian dollar rebounded from an earlier two-week low against its U.S. counterpart on Tuesday, helped by dovish comments from Federal Reserve Chair Jerome Powell and the recent move higher in oil prices. The greenback weakened as Powell suggested that the U.S. central bank is more than likely to start its easing cycle later this year. The price of oil , one of Canada's major exports, climbed to its highest level since April 26 before pulling back to $83.22 a barrel, down 0.2% on the day, while the U.S. dollar (.DXY), opens new tab edged lower against a basket of major currencies.The loonie was trading 0.3% higher at 1.3690 to the U.S. dollar, or 73.05 U.S. cents, after touching its weakest intraday level since June 18 at 1.3755.Immediate resistance can be seen at 1.3698 (38.2% fib), an upside break can trigger rise towards 1.3742 (23.6% fib).On the downside, immediate support is seen at 1.3633(50% fib), a break below could take the pair towards 1.3627(61.8% fib).

USD/JPY: The U.S. dollar hit a near 38-year high to the yen on Tuesday following a surge in Treasury yields as investors contemplated prospects of a second Donald Trump presidency.The dollar rose as high as 161.745 yen on Tuesday, a level not seen since December 1986.The currency pair is highly sensitive to U.S. yields and the benchmark 10-year Treasury yield climbed nearly 14 basis points to 4.479% to start the week. .Japanese finance minister Shunichi Suzuki reiterated on Tuesday that officials are watching currency markets with vigilance, but noticeably didn't repeat a warning that they stood ready to act. Strong resistance can be seen at 161.66(23.6%fib), an upside break can trigger rise towards 161.95(Higher BB).On the downside, immediate support is seen at 159.92 (38.2% fib), a break below could take the pair towards 158.49(50%fib).

Equities Recap

European stocks fell to two-week lows on Tuesday as the relief rally in French shares following the first round of parliamentary elections faded, while data pointed to elevated services inflation in the euro zone.

UK's benchmark FTSE 100 closed down by 0.56 percent, Germany's Dax ended down by 0.75 percent, France’s CAC finished the day down by 0. 30 percent.

Wall Street's main stock indexes closed higher on Tuesday, boosted by gains in Tesla (TSLA.O), opens new tab and megacap growth stocks, but volumes were thin ahead of the July Fourth holiday and the closely watched release of June nonfarm payrolls on Friday.

Dow Jones closed up by 0.41 percent, S&P 500 ended down by 0.62 percent, Nasdaq finished the day up by 0.84 percent..

Commodities Recap

Gold prices edged lower on Tuesday as Treasury yields held firm, while investors digested comments from Federal Reserve Chair Jerome Powell and looked forward to U.S. jobs data due later this week for more signals on U.S. interest rate cuts.

Spot gold was down 0.3% at $2,324.88 per ounce by 14:01 p.m. (1801 GMT). U.S. gold futures settled 0.2% lower at $2,333.40.

Crude oil prices fell on Tuesday as fears faded that Hurricane Beryl would disrupt supplies as the storm will avoid most oil fields as it barrels toward Jamaica.

Brent crude futures settled down 36 cents, or 0.42%, at $86.24 a barrel. U.S. West Texas Intermediate crude settled at $82.81 a barrel, down 57 cents or 0.68%.