Asian Markets Rally Lifts Risk Currencies; Oil Hits 7-Week High

Risk-sensitive currencies gained ground during Asian and European trading sessions as equity markets advanced broadly, with major indices posting gains between 0.8% and 1.5%. The positive sentiment has supported AUD/USD and NZD/USD, which climbed 0.4% and 0.3% respectively. Oil prices reached 7-week highs, with Brent crude touching $84.50 per barrel on supply concerns and improving Chinese demand indicators. The commodity rally has particularly benefited CAD, with USD/CAD retreating from recent highs near 1.3650. Asian currencies also strengthened, with USD/JPY consolidating near 157.50 despite the yen's diminishing safe-haven appeal. The risk-on environment has pressured traditional safe havens like CHF and USD, while emerging market currencies showed resilience. Traders are monitoring whether this positive momentum can sustain through the US session, particularly with key economic data releases scheduled later today.