GBP/USD has surged approximately 0.50% during Thursday's session, breaking through multiple key technical levels to reach its highest point since May 2026. The pair climbed decisively above the 100-hour moving average and the critical 50% retracement of the 2026 trading range at 1.3503, signaling strengthening bullish momentum. The advance has also extended beyond the July high of 1.35573, establishing new multi-month highs and opening the door for further upside. The breakaway from the 50% Fibonacci retracement is a significant technical development, as this level had previously served as a resistance ceiling. Traders should now watch the 1.3503 level as potential support on any pullback, while the next resistance zone lies near the 61.8% Fibonacci retracement of the 2026 range. With the price trading above both the moving average and the midpoint retracement, the technical bias remains firmly bullish. A sustained hold above the July high could attract additional buying pressure and momentum-driven flows toward higher targets.
GBPUSD
Sentiment:
Very Positive
Source: Finnhub
Global market sentiment has turned cautious on Thursday as escalating tensions in the Middle East and a sharp spike in crude oil prices weigh on risk appetite across asset classes. The geopolitical uncertainty is driving demand for traditional safe-haven currencies such as the Japanese yen, Swiss franc, and US dollar, while commodity-linked and risk-sensitive currencies face headwinds. Rising crude oil prices are adding inflationary pressures, which could complicate central bank rate decisions in the near term, particularly for energy-importing economies. Mixed corporate earnings updates and forward guidance have further dampened investor confidence, contributing to the risk-off tone. Currency traders should monitor USD/JPY and USD/CHF for safe-haven flows, while pairs like AUD/USD and NZD/USD may face downward pressure in this environment. Oil-sensitive currencies such as the Canadian dollar could see increased volatility as energy markets react to the geopolitical developments. Near-term direction will depend on whether Middle East tensions escalate further or diplomatic efforts ease market concerns.
USDJPY
USDCHF
AUDUSD
NZDUSD
USDCAD
Sentiment:
Negative
Source: Marketaux
The US dollar edged lower during the European session amid a mixed market mood, with safe-haven gold staging a rebound. The greenback faced broad-based selling pressure as multiple macro developments weighed on sentiment. The Bank of Japan is reportedly preparing for a September rate hike with an accelerated pace of tightening, bolstering the yen and pressuring USD/JPY. In Europe, French inflation re-accelerated in July with core prices also moving higher, while German wholesale prices bounced back as energy tax cut effects lapsed — both factors supportive of a firmer euro. The Swiss economy posted solid quarterly growth of 1.5% in Q2, lending support to the franc. Meanwhile, China's new bank loans contracted again in July for the second time, signaling persistent economic weakness in the world's second-largest economy and dampening risk appetite. Bitcoin lost the critical $64,000 support level, adding to the cautious market tone. Traders should monitor upcoming US data releases and BOJ communications for further directional cues on dollar pairs.
USDJPY
EURUSD
USDCHF
USDCNY
XAUUSD
Sentiment:
Negative
Source: Finnhub
The US dollar is seeing supportive flows during the Asia-Pacific session as President Trump announced new tariffs of up to 100% on drone imports, escalating trade tensions and boosting safe-haven demand for the greenback. Oil prices edged marginally higher on the news, reflecting concerns over potential supply chain disruptions and geopolitical risk premiums. The tariff announcement adds to an already protectionist trade agenda, which has historically supported USD strength against risk-sensitive currencies such as AUD and NZD, while weighing on commodity-linked pairs. The broader Asia-Pacific session saw muted price action, with markets digesting the implications of the latest trade policy escalation. Traders should monitor USD/CNH and AUD/USD for potential volatility as retaliatory measures from affected trading partners could materialize. Near-term, the dollar index may find support from sustained risk aversion, though prolonged trade conflicts could introduce stagflationary pressures that complicate the Federal Reserve's policy outlook. Key resistance for the DXY sits near recent highs, while commodity currencies face downside risk on deteriorating trade sentiment.
AUDUSD
NZDUSD
USDCNH
Sentiment:
Positive
Source: Finnhub
EUR/USD faces renewed downside pressure as geopolitical risk in Eastern Europe intensified following Latvia's shootdown of a drone over its territory, marking a significant escalation beyond the routine alert-and-clear incidents seen throughout 2026. The event required a NATO air defence mission to neutralize the threat over sovereign NATO territory, raising concerns about broader regional destabilization along the Russia-NATO frontier. Safe-haven flows are likely to benefit the US dollar, Swiss franc, and Japanese yen at the expense of the euro and other European currencies. Traders should monitor EUR/USD for potential tests of nearby support levels as risk sentiment deteriorates. EUR/CHF may also see selling pressure as Swiss franc demand increases on haven flows. The escalation adds a geopolitical risk premium to European assets and could weigh on ECB policy expectations if economic uncertainty deepens. Near-term, traders should watch for official NATO and EU responses, which could either calm markets or further amplify volatility across EUR pairs and broader risk assets.
EURUSD
EURCHF
EURJPY
USDJPY
USDCHF
Sentiment:
Negative
Source: Finnhub
The US dollar is navigating mixed signals after Fitch Ratings affirmed the United States' AA+ credit rating with a stable outlook, removing near-term sovereign downgrade risk. However, the accompanying commentary struck a cautious tone, with Fitch cutting its US GDP growth forecast from 2.8% to 1.9%, citing a weakening labor market and slowing economic momentum. The downgraded growth outlook reinforces the dovish repricing already underway in Fed funds futures, as fixed income desks incorporate softer rate hike odds into their models. For USD pairs, the affirmation provides a floor of confidence in US creditworthiness, but the growth revision adds weight to the bearish dollar narrative building through the week. DXY traders should monitor upcoming employment data releases to confirm or challenge Fitch's labor market assessment. Near-term, the dollar may face headwinds against yield-sensitive currencies such as JPY and EUR if Treasury yields continue to drift lower on reduced tightening expectations. Traders should watch for any shift in Fed rhetoric that could amplify or counteract these dynamics.
EURUSD
USDJPY
Sentiment:
Negative
Source: Finnhub
AUD/USD is ticking higher after a volatile session that saw the pair decline sharply from post-CPI highs near levels not seen since June 5. The pair had broken below critical technical levels, including the 100-hour moving average at 0.70598 and the 100-day moving average at 0.7055, with sellers pushing toward the 200-hour moving average at 0.7045. However, renewed risk-on sentiment across global markets has helped the pair stabilize and begin recovering lost ground. The reversal was supported by improved market appetite following in-line U.S. CPI data for July, which tempered expectations for aggressive Federal Reserve rate hikes. Traders should monitor the 0.7055–0.7060 zone, where the 100-day and 100-hour moving averages converge as near-term resistance. A sustained break above this cluster could open the path back toward the recent highs above 0.7080. On the downside, the 200-hour moving average at 0.7045 remains key support. The interplay between risk sentiment and U.S. rate expectations will likely dictate near-term direction for the pair.
AUDUSD
Sentiment:
Positive
Source: Finnhub
The U.S. dollar faced broad selling pressure as July's Consumer Price Index data came in line with market expectations, prompting traders to scale back bets on further Federal Reserve rate hikes. The matched CPI readings removed a key catalyst for dollar bulls, as markets had been pricing in the possibility of hotter-than-expected inflation fueling additional monetary tightening. With rate hike expectations now ebbing, risk sentiment across global equity and currency markets improved meaningfully, benefiting risk-sensitive currencies such as the Australian dollar and other commodity-linked pairs. The softer rate outlook weighed on U.S. Treasury yields, further undermining dollar demand. Traders are now recalibrating their positioning around the Fed's forward guidance, with upcoming employment data and Fed commentary likely to shape the next directional move. For dollar pairs, the shift in sentiment suggests near-term downside risk for the greenback, particularly against currencies where central banks maintain a relatively hawkish stance. Market participants should watch for follow-through in risk appetite as the key driver in the sessions ahead.
AUDUSD
Sentiment:
Negative
Source: Marketaux
The US dollar remains tentative in post-CPI trading, failing to generate meaningful momentum following the latest US inflation data release. The Swiss franc leads among major currencies while the New Zealand dollar underperforms, reflecting a risk-cautious positioning across forex markets. UK GDP data came in line with expectations at +0.4% q/q for Q2, with June posting unexpected growth driven by a stronger services sector. Spanish inflation edged higher in July, with both headline and core prices increasing. WTI crude oil declined 2% to $81.58, while gold retreated from recent highs after US CPI data failed to provide an additional bullish catalyst. European equities traded higher alongside S&P 500 futures, suggesting modest risk appetite. Market participants are now turning their attention to the upcoming Jackson Hole symposium for further policy guidance from the Federal Reserve. The muted dollar reaction to CPI suggests traders are in a wait-and-see mode, with the Jackson Hole event likely to be the next major driver for USD pairs and broader forex sentiment.
USDCHF
NZDUSD
GBPUSD
EURUSD
XAUUSD
Sentiment:
Neutral
Source: Finnhub
A comprehensive survey conducted by Trading Technologies and Acuiti, covering 65 buy-side firms, reveals that 69% of respondents prioritize a unified real-time view of FX risk over cost savings when evaluating execution management system (EMS) consolidation. The findings highlight a significant shift in institutional priorities, as firms increasingly demand integrated platforms capable of providing holistic risk oversight across multiple currency pairs and trading venues. Despite this strong preference, migration risk remains a key barrier to adoption, with firms cautious about disrupting existing workflows and systems during transitions. The survey underscores growing demand for technology solutions that can aggregate risk data across asset classes and counterparties in real time. For forex traders, this institutional trend signals increasing sophistication in risk management practices, which could lead to more efficient price discovery and tighter spreads across major and cross currency pairs. The push toward EMS consolidation may also accelerate electronification of FX trading, potentially impacting liquidity dynamics and execution quality across the broader forex market.
EURUSD
Sentiment:
Neutral
Source: Marketaux
Spain's final July CPI confirmed an acceleration to 3.6% year-over-year, surpassing the preliminary estimate of 3.5% and marking a notable increase from June's 3.2% reading. The harmonized index (HICP) also came in above expectations at 3.9% versus the 3.8% preliminary print, up from 3.6% previously. The uptick was largely driven by a renewed rise in petrol prices, adding to persistent core inflation pressures across the eurozone's fourth-largest economy. This data complicates the European Central Bank's policy calculus, as sticky inflation may delay anticipated rate cuts and support the euro in the near term. EUR/USD traders should monitor how this feeds into broader eurozone aggregate inflation data, as hotter-than-expected readings could reinforce hawkish ECB expectations. The divergence between softening US inflation and rising Spanish CPI creates a potential tailwind for the euro. Key technical levels to watch on EUR/USD include nearby resistance zones that could be tested if eurozone inflation surprises continue to the upside.
EURUSD
Sentiment:
Positive
Source: Finnhub
The US dollar showed muted price action following the release of July's Consumer Price Index data, which came in exactly at market expectations at 3.4% year-over-year. The in-line reading offered no significant surprises across key metrics, leaving traders with little fresh impetus to establish new directional positions. With inflation data now in the rearview mirror, market attention has firmly shifted to the upcoming Federal Reserve Jackson Hole Economic Symposium, where policymakers are expected to provide critical guidance on the future path of monetary policy. The lack of a CPI surprise has kept rate cut expectations largely unchanged, with markets continuing to price in the Fed's next moves based on the broader data trajectory. For USD pairs, the neutral CPI print suggests near-term consolidation as traders await clearer signals from Fed Chair Powell's anticipated Jackson Hole remarks. Key levels across major dollar pairs remain intact, and volatility is expected to pick up significantly once central bank commentary begins. Traders should monitor positioning heading into the symposium for potential breakout opportunities.
EURUSD
USDJPY
GBPUSD
Sentiment:
Positive
Source: Finnhub
The US dollar lost momentum on Thursday after softer-than-expected US inflation data prompted traders to scale back bets on a near-term Federal Reserve interest rate hike. The dollar index treaded water as market participants reassessed the Fed's policy trajectory, with rate futures now reflecting diminished probability of further tightening. The benign CPI reading suggests that disinflationary trends are gaining traction in the US economy, reducing urgency for additional monetary restriction. This development weighs broadly on the greenback against major counterparts including the euro, British pound, and Japanese yen. Dollar weakness is particularly notable against the yen, where the interest rate differential narrative has been a key driver. Traders are now focused on upcoming Fed commentary and labor market data to gauge whether the central bank will maintain its current stance or signal a pivot toward easing. Near-term, the dollar faces downside risk if incoming data continues to support the disinflation narrative, potentially pushing USD pairs toward key support levels across the board.
EURUSD
GBPUSD
USDJPY
Sentiment:
Negative
Source: Marketaux
NZD/USD traders are positioning ahead of the Reserve Bank of New Zealand's inflation expectations survey scheduled for release during the Thursday Asian session on August 13, 2026. The RBNZ places significant emphasis on the 2-year inflation expectations reading, as the central bank considers two years to be the appropriate time horizon for monetary policy transmission to fully impact the broader economy. This metric serves as a critical input for RBNZ rate decisions, as it reflects how businesses and consumers anticipate future price pressures. A higher-than-expected reading could reinforce hawkish expectations, potentially supporting the New Zealand dollar, while a decline in inflation expectations may open the door for additional easing measures, weighing on NZD/USD. Traders should monitor the release closely alongside broader risk sentiment in the Asia-Pacific session. The data point is particularly relevant given the RBNZ's ongoing efforts to anchor inflation within its 1-3% target band, and any deviation from consensus could trigger notable volatility in NZD crosses.
NZDUSD
Sentiment:
Neutral
Source: Finnhub
GBP/USD is maintaining a short-term uptrend above the 1.3479 level, having successfully broken above a medium-term descending trendline following the recent Non-Farm Payrolls report. The pair's bullish momentum reflects renewed sterling strength as the dollar faces uncertainty ahead of the upcoming US Consumer Price Index release. The NFP-driven breakout above the descending trendline marks a significant technical shift, suggesting buyers have regained control of the pair's medium-term trajectory. However, the upcoming CPI print poses a key risk event for the pair. A hotter-than-expected core CPI reading could reignite expectations for further Federal Reserve rate hikes, strengthening the dollar and putting downward pressure on GBP/USD. Immediate support sits at 1.3479, which now serves as a pivotal level for the short-term uptrend, while a sustained hold above this level could open the door to further gains. Traders should closely monitor the inflation data, as a significant deviation from consensus could trigger sharp volatility in the pair and potentially reverse the current bullish bias.
GBPUSD
Sentiment:
Positive
Source: Marketaux
Forex markets are navigating heightened uncertainty as geopolitical tensions in the Middle East combine with anticipation of the upcoming US CPI release to create a volatile trading environment. Conflicting signals surrounding a potential US-Iran agreement and ongoing concerns about shipping disruptions through the Strait of Hormuz are weighing on risk sentiment across asset classes. Safe-haven currencies such as the Japanese yen and Swiss franc are seeing intermittent demand as traders assess the implications of potential supply chain disruptions on global energy markets and inflation dynamics. The uncertainty around Hormuz shipping lanes has also supported crude oil prices, indirectly influencing commodity-linked currencies like the Canadian dollar and Norwegian krone. With US CPI data imminent, markets face a dual risk scenario where geopolitical escalation could amplify the impact of any inflation surprise. Traders should monitor developments in the Middle East alongside the CPI print, as the convergence of these factors could drive significant directional moves across major and cross pairs in the near term.
USDJPY
USDCHF
USDCAD
Sentiment:
Neutral
Source: Marketaux
Geopolitical tensions between the US and Iran are escalating after Iran reportedly declared that no ceasefire discussions are taking place, asserting that the previous agreement no longer exists. According to Iranian officials, the US violated the agreement within 48 hours of it being reached and subsequently withdrew days later. Iran maintains there is no ceasefire start date and therefore nothing to extend. Discussions are reportedly centered on the US returning to conditions outlined in a memorandum of understanding, including defining a timeframe for implementing commitments, though no progress has been made. This breakdown in diplomatic channels elevates Middle Eastern geopolitical risk, which traditionally supports safe-haven currencies such as JPY, CHF, and gold while weighing on risk-sensitive assets. Oil prices may also face upward pressure given Iran's role as a major crude producer, potentially benefiting commodity-linked currencies like CAD and NOK. Traders should monitor USD pairs and crude oil closely, as further deterioration in US-Iran relations could trigger significant volatility across forex and commodity markets in the near term.
USDJPY
USDCHF
USDCAD
Sentiment:
Negative
Source: Finnhub
Asia-Pacific markets are showing mixed sentiment as oil prices edge higher amid geopolitical developments in the Gulf region, while regional equity indices diverge with South Korea's Kospi rallying on chip stocks and Japan's Nikkei holding steady ahead of the US CPI release. The Australian dollar faces potential pressure after Australia announced a world-leading pay floor for 250,000 gig delivery workers, a move that could stoke wage-driven inflation expectations and influence RBA policy considerations. Gulf states are reportedly bypassing strategic choke points as Strait of Hormuz risks persist, with a Saudi-Oman deal fitting a broader pattern of regional infrastructure diversification. President Trump's assertion of total control over Hormuz adds a layer of geopolitical risk premium to crude oil, which could support commodity-linked currencies like AUD and CAD while weighing on oil-importing nations' currencies such as JPY. Traders should closely monitor the upcoming US CPI print, as it will be critical in shaping Fed rate expectations and broad USD direction. Near-term, USD/JPY remains sensitive to both the inflation data and risk sentiment shifts across Asian markets.
AUDUSD
USDJPY
USDKRW
USDCAD
Sentiment:
Neutral
Source: Finnhub
The US dollar index is facing downside pressure as Goldman Sachs chief economist Jan Hatzius projects a benign July CPI report, with headline inflation expected at approximately 0.05% month-over-month and core CPI near 0.19%. Both figures would come in at or slightly below market consensus, reinforcing the disinflationary trend that Hatzius says began in June. A softer-than-expected inflation print would significantly ease pressure on the Federal Reserve heading into its September meeting, bolstering expectations for a rate cut. Lower rate expectations typically weigh on the greenback, potentially benefiting pairs such as EUR/USD and GBP/USD. Traders should closely monitor the actual CPI release for confirmation, as any upside surprise could quickly reverse dollar weakness. If the data aligns with Goldman's forecast, the dollar could test nearby support levels against major counterparts, with EUR/USD potentially pushing toward recent resistance zones. The report carries outsized importance given the Fed's data-dependent stance and the proximity to the September FOMC decision, making it a critical catalyst for near-term USD positioning.
EURUSD
GBPUSD
USDJPY
Sentiment:
Negative
Source: Finnhub
The U.S. Energy Information Administration has revised its crude oil price forecasts significantly higher, with WTI spot prices now expected to average $80.88/bbl in 2026, up from the prior estimate of $76.26 — a roughly 6% upward revision. The adjustment reflects tightening supply conditions driven by Middle East production disruptions observed in July and ongoing risks to key shipping routes in the region. These elevated oil price expectations carry direct implications for commodity-linked currencies, particularly the Canadian dollar, which tends to strengthen alongside rising crude prices. Higher sustained oil revenues bolster Canada's trade balance and economic outlook, placing downward pressure on USD/CAD. The EIA also revised its 2027 price outlook higher while adjusting global supply and demand projections. For forex traders, the combination of geopolitical supply risks and firmer crude pricing supports a constructive CAD bias. Key levels to watch on USD/CAD include nearby support zones that could be tested if oil prices continue to firm, while any de-escalation in Middle East tensions could reverse the commodity-driven CAD strength.
USDCAD
Sentiment:
Negative
Source: Finnhub
