The US dollar opened June trading with broad-based weakness, declining against all major currencies as traders repositioned following the month-end flows. The greenback's slide reflects growing concerns about US economic momentum and expectations for Federal Reserve rate cuts totaling 53 basis points by year-end. EURUSD gained 0.4% to test 1.0580, while GBPUSD advanced 0.3% toward 1.2650. The dollar's weakness was particularly pronounced against commodity currencies, with AUDUSD jumping 0.5% to 0.6680 and USDCAD dropping to 1.3620. Technical indicators suggest the DXY dollar index has broken below key support at 104.50, opening the path for further declines toward 104.00. The move appears to be driven by position squaring after the dollar's recent rally, combined with month-end portfolio rebalancing flows. Traders should watch for any reversal signals as oversold conditions develop.
EURUSD
GBPUSD
AUDUSD
USDCAD
Sentiment:
Negative
Source: Marketaux
Multiple PMI releases scheduled for Monday could drive significant forex volatility, particularly for USD pairs. The European session will feature final PMI readings for the UK and major European economies, though market impact is expected to be limited unless substantial revisions occur. The main focus shifts to the American session with three critical releases: Canadian Manufacturing PMI, S&P Global US Manufacturing PMI (final), and the influential ISM Manufacturing PMI. Recent US manufacturing data has shown persistent weakness, with expectations pointing to continued contraction below the 50.0 expansion threshold. Any disappointment in the ISM data could weaken the dollar against major counterparts, particularly EUR/USD and GBP/USD. Traders should monitor the 50.0 level closely, as readings below this mark signal manufacturing contraction and could influence Federal Reserve policy expectations. Technical setups suggest USD pairs are at key inflection points ahead of these releases.
EURUSD
GBPUSD
USDCAD
Sentiment:
Neutral
Source: Finnhub
USD/CNY remains elevated near 7.25 levels as JPMorgan CEO Jamie Dimon's comments at the Reagan National Economic Forum highlight persistent US-China trade frictions. Dimon warned that China will not "bow down" to US trade demands, suggesting prolonged tensions ahead. He emphasized the need for the US to address internal issues including regulation, taxation, and immigration policy to maintain competitiveness. The CEO characterized China as a "potential adversary" that is "doing a lot of things well," underscoring the strategic competition between the world's two largest economies. These comments reinforce market expectations of sustained trade uncertainty, supporting dollar strength against the yuan. Technical indicators show USD/CNY testing resistance at 7.2550, with support at 7.2300. Traders should monitor upcoming trade policy announcements and Chinese economic data for directional cues in the pair.
USDCNY
Sentiment:
Positive
Source: Finnhub
The US dollar index is experiencing heightened volatility as traders navigate concerns over Federal Reserve policy direction and widening credit spreads. Rising interest rates and expanding credit spreads pose significant risks to equity markets, potentially triggering safe-haven flows that could strengthen the dollar against risk-sensitive currencies. Market participants are closely monitoring this week's key economic data releases, including US manufacturing PMI and services data, which will provide crucial insights into the Fed's next policy moves. Technical analysis shows the DXY testing resistance at 105.50, with support established at 104.20. The interplay between stock market performance and dollar strength remains critical, as equity weakness typically drives investors toward USD safe-haven positions. Traders should prepare for increased volatility across major pairs, particularly EUR/USD and USD/JPY, as credit market stress could accelerate risk-off sentiment and dollar demand.
EURUSD
USDJPY
Sentiment:
Neutral
Source: Marketaux
USD trading remains cautious as Tesla stock faces scrutiny following NYT reports about Elon Musk's alleged drug use, potentially impacting broader market sentiment. While no direct forex pairs are mentioned, risk-off sentiment typically benefits safe-haven currencies like USD, JPY, and CHF. However, concerns about a major US tech company could weigh on dollar strength if equity markets decline significantly. Tesla's stock movement often correlates with broader tech sector performance, which influences USD flows through equity market channels. The allegations include reported use of ketamine, Adderall, MDMA, and psychedelic mushrooms during campaign travels. Traders should monitor S&P 500 futures and NASDAQ for potential spillover effects into currency markets. Any significant Tesla stock decline could trigger risk-aversion flows, potentially strengthening JPY crosses while pressuring commodity currencies like AUD and NZD. The market awaits Tesla's response and any regulatory implications.
USDJPY
AUDUSD
NZDUSD
Sentiment:
Neutral
Source: Finnhub
USD/CNY is under downward pressure following China's improved manufacturing PMI data released Saturday. The official Manufacturing PMI rose to 49.5 in May from 49.0 previously, though remaining below the 50 expansion threshold for the second consecutive month. The Non-Manufacturing PMI slightly declined to 50.3 from 50.4. The data suggests modest stabilization in China's manufacturing sector, potentially reflecting early benefits from recent stimulus measures and temporary trade war de-escalation. However, the sub-50 reading still indicates contraction, keeping concerns about China's economic momentum alive. Technical levels show USD/CNY facing resistance near 7.25, with support around 7.20. The improved PMI reading could provide short-term yuan support, though sustained recovery above 50 would be needed for meaningful USD/CNY downside. Traders should monitor upcoming Chinese economic releases and any developments in US-China trade negotiations for directional cues.
USDCNY
Sentiment:
Neutral
Source: Finnhub
Crude oil futures settled at $60.79, declining 0.25% ($0.15) on the day, extending weekly losses to 1.59% and bringing year-to-date declines to 15.43%. The persistent weakness in oil prices is applying downward pressure on commodity-linked currencies, particularly the Canadian dollar and Norwegian krone. Lower oil prices typically weaken CAD and NOK as both economies rely heavily on energy exports for revenue. The sustained decline in crude reflects ongoing concerns about global demand amid economic uncertainty and potential oversupply conditions. Technical indicators suggest oil remains in a downtrend, with resistance at $62.50 and support near $60.00. For forex traders, continued oil weakness could present opportunities to short USD/CAD and USD/NOK pairs, as the US dollar strengthens against these petro-currencies. Watch for any correlation breaks if risk sentiment shifts or if OPEC+ announces production adjustments.
USDCAD
USDNOK
Sentiment:
Negative
Source: Finnhub
The US dollar showed mixed performance in Asian trading as US-China relations remain strained despite ongoing diplomatic communications. China's spokesperson confirmed both nations continue dialogue over mutual concerns, following President Trump's earlier comments expressing skepticism about finding a permanent solution to bilateral issues. Trump stated the US will not trust China while China will not compromise its sovereignty, highlighting deep-rooted tensions affecting global trade flows. Currency markets are closely monitoring these developments as prolonged US-China friction could impact risk sentiment and safe-haven demand. The dollar index held near 104.50 as traders weigh geopolitical risks against upcoming US economic data. Further escalation in rhetoric could strengthen the dollar's safe-haven appeal, while any breakthrough in negotiations might pressure the greenback as risk appetite improves. Traders should watch for official statements from both governments for directional cues.
DXY
Sentiment:
Neutral
Source: Finnhub
EUR/USD maintains a cautious tone following the release of US Core PCE inflation data that met market expectations, leaving the pair trapped between opposing forces. The European Central Bank's recent dovish signals continue to cap euro strength, with officials hinting at potential rate cuts amid sluggish economic growth. Meanwhile, uncertainty surrounding US economic policy direction adds volatility to dollar positioning. The neutral Core PCE reading neither accelerated nor decelerated Fed rate cut expectations, keeping the pair in consolidation mode. Technical analysis shows EUR/USD trading within a tight 1.0800-1.0900 range, with neither bulls nor bears gaining decisive control. Immediate support sits at 1.0820, while resistance emerges at 1.0875. Traders should monitor upcoming ECB communications and US labor market data for potential breakout catalysts. The current environment suggests range-trading strategies may be optimal until clearer directional signals emerge.
EURUSD
Sentiment:
Neutral
Source: Marketaux
USD/JPY advanced 0.4% to trade above 157.20 as the Japanese yen failed to capitalize on stronger-than-expected inflation data. Japan's core inflation accelerated to a 2-year high of 2.8% year-over-year in April, surpassing the Bank of Japan's 2% target and market expectations of 2.6%. Despite the robust inflation reading, the yen remained under pressure due to the significant interest rate differential between the US and Japan. The Federal Reserve's higher-for-longer stance contrasts sharply with the BoJ's ultra-accommodative policy, maintaining downward pressure on the yen. Technical indicators show USD/JPY testing resistance at 157.50, with momentum indicators suggesting further upside potential. Support sits at 156.80 (previous day's low). Traders are monitoring any shifts in BoJ rhetoric regarding policy normalization, though immediate intervention appears unlikely below the 160 threshold.
USDJPY
Sentiment:
Positive
Source: Marketaux
The US Dollar Index has slipped 0.2% ahead of today's 12:30 GMT release of April PCE price index data, the Federal Reserve's preferred inflation gauge. Markets are positioning for another month of cooling inflation, with professional forecasters expecting the headline PCE to rise 0.3% month-over-month and core PCE to increase 0.2-0.3%. The anticipated data follows recent CPI and PPI readings that suggest moderating price pressures. A softer-than-expected reading could reinforce market expectations for Fed rate cuts later this year, potentially pushing the dollar lower against major currencies. Technical indicators show the DXY testing support at 104.50, with a break below potentially accelerating losses toward 104.00. Conversely, any upside surprise in inflation could trigger dollar strength as traders reassess the Fed's policy trajectory. Currency pairs to watch include EUR/USD, currently testing resistance at 1.0850, and USD/JPY hovering near 157.00.
EURUSD
USDJPY
Sentiment:
Negative
Source: Finnhub
AUD/USD declined 0.6% to 0.6520 following disappointing Australian retail sales data and renewed trade concerns after a US court decision. Australian retail sales rose just 0.1% month-over-month in April, significantly below the expected 0.3% increase, suggesting weakening consumer demand. The Australian dollar faced additional pressure after a US court reinstated certain tariffs, raising concerns about global trade dynamics and commodity demand. As a commodity-linked currency, the AUD remains vulnerable to shifts in global trade sentiment and China's economic outlook. Technical analysis shows AUD/USD breaking below the key 0.6550 support level, with next support at 0.6500 (psychological level). Resistance now sits at 0.6550 (former support turned resistance). The combination of domestic economic weakness and external trade headwinds suggests continued pressure on the Australian dollar in the near term.
AUDUSD
Sentiment:
Negative
Source: Marketaux
USD/CAD is trading at 1.3680, showing mixed technical signals as the pair faces resistance following recent recovery attempts. The currency pair has gained 0.15% in early trading but remains capped below the key 1.3700 psychological level, which has acted as strong resistance over the past week. Technical indicators present conflicting signals, with the RSI showing neutral momentum at 52 while the MACD suggests potential bearish divergence. The 50-day moving average at 1.3665 provides immediate support, while a break above 1.3700 could open the path toward 1.3750. Canadian dollar strength has been supported by steady oil prices near $78 per barrel and expectations that the Bank of Canada may pause its rate-cutting cycle. Meanwhile, USD positioning remains cautious ahead of key US economic data. Traders should monitor the 1.3650-1.3700 range for directional cues, with a sustained break either way likely determining the near-term trend.
USDCAD
Sentiment:
Neutral
Source: Marketaux
Gold prices have climbed 0.8% to $2,342 per ounce, supported by increasing expectations of Federal Reserve rate cuts and escalating geopolitical tensions. The precious metal's advance comes as markets price in a 65% probability of a September rate cut following recent dovish comments from Fed officials. Geopolitical concerns in Eastern Europe and the Middle East have also boosted safe-haven demand, with gold futures volume increasing 15% above the 30-day average. The dollar's weakness, with DXY down 0.3% to 104.45, has made gold more attractive to international buyers. Technical analysis shows gold breaking above the $2,335 resistance level, with the next target at $2,360. The EUR/USD pair has benefited from dollar weakness, rising to 1.0845, while USD/JPY has declined to 156.80 as yen gains on risk-off sentiment. Traders await today's PCE inflation data, which could further influence Fed policy expectations and precious metal pricing.
EURUSD
USDJPY
Sentiment:
Positive
Source: Marketaux
The US Dollar Index has declined 0.4% to 104.30 following weaker-than-expected US consumer spending data, raising concerns about economic momentum. Personal spending rose just 0.2% in April, missing the 0.4% forecast and marking the slowest growth in three months. The disappointing data has weighed on USD across major pairs, with EUR/USD advancing 0.35% to 1.0860 and USD/JPY falling 0.5% to 156.50. The Swedish krona showed particular strength, with EUR/SEK dropping 0.6% to 11.42 as risk sentiment improved in European markets. Market participants are reassessing Fed rate expectations, with futures now pricing a 70% chance of a September cut versus 60% before the data. Technical indicators suggest further USD weakness possible, with the DXY approaching key support at 104.00. The soft spending figures, combined with cooling inflation expectations, could prompt the Fed to adopt a more dovish stance in upcoming communications.
EURUSD
USDJPY
EURSEK
Sentiment:
Negative
Source: Marketaux
EUR/USD edged lower by 0.1% to 1.0825 following weaker-than-expected German retail sales data for April. Monthly retail sales contracted 1.1%, significantly missing the 0.2% growth forecast, though prior month figures were revised higher from -0.2% to show stronger performance. The year-over-year reading came in at 2.3%, beating expectations of 1.8% and improving from the revised 2.2% previous reading. Despite the headline miss, the positive revisions and volatile nature of retail sales data limited the euro's downside. Market participants remain focused on the European Central Bank's policy trajectory, with this data unlikely to alter expectations for gradual rate cuts. Technical resistance for EUR/USD sits at 1.0850, while support emerges near 1.0800. The mixed data suggests continued range-bound trading for the pair in the near term.
EURUSD
Sentiment:
Neutral
Source: Finnhub
GBP/USD has fallen 0.4% to 1.2640, marking its third consecutive day of losses as persistent UK inflation concerns weigh on sterling. The pair has broken below the key 1.2650 support level, with selling pressure intensifying after UK services inflation remained stubbornly high at 5.9%, well above the Bank of England's comfort zone. The US Dollar Index has gained 0.2% to 104.75, adding to the pound's woes. Technical indicators point to further downside potential, with the RSI at 42 suggesting bearish momentum without being oversold. The next support level sits at 1.2600, coinciding with the 100-day moving average. Market participants are pricing reduced odds of BoE rate cuts this year, but concerns about UK economic growth are offsetting any potential support from higher rates. A break below 1.2600 could accelerate losses toward 1.2550, while resistance now stands at the former support of 1.2650.
GBPUSD
Sentiment:
Negative
Source: Marketaux
USD/JPY advanced 0.4% to 157.20 during Asian trading as Tokyo's core CPI accelerated well above 3%, reinforcing expectations for potential Bank of Japan policy normalization. The inflation data sparked yen selling initially as traders positioned for a widening rate differential with the US. However, gains were capped by Treasury Secretary nominee Bessent's comments that US-China trade talks have stalled, raising concerns about regional economic stability. The development adds uncertainty to Asian currencies broadly, with potential spillover effects on risk sentiment. Technical indicators show USD/JPY approaching key resistance at 157.50, while support lies at 156.80. The conflicting forces of Japanese inflation pressures and geopolitical tensions create a complex trading environment. Traders should monitor upcoming BOJ commentary and any developments in US-China relations for directional cues.
USDJPY
USDCNY
Sentiment:
Positive
Source: Marketaux
USD/CNY trading remains elevated near 7.25 as geopolitical tensions intensify following US plans to dramatically increase weapons sales to Taiwan. The proposed arms deals could exceed $18.3 billion, surpassing the entire amount sold during Trump's previous administration, potentially straining US-China relations further. Markets are pricing in increased safe-haven demand for the dollar against Asian currencies, though CNY weakness is being partially offset by PBOC intervention. The escalation comes as China continues military exercises near Taiwan, raising concerns about regional stability. Technical indicators show USD/CNY testing resistance at 7.2650, with support at 7.2300. Traders should monitor upcoming diplomatic developments and potential Chinese retaliatory measures, which could trigger additional volatility in the pair. The situation may also impact broader risk sentiment, affecting commodity currencies and emerging market forex pairs.
USDCNY
Sentiment:
Positive
Source: Finnhub
AUD/USD declined 0.2% to 0.6485 in early Asian trading as disappointing Australian economic data weighed on the currency. Retail sales data came in below expectations, signaling weakening consumer demand, while building permits also disappointed, suggesting a cooling construction sector. The weak data reinforces market expectations that the Reserve Bank of Australia may pause its tightening cycle, putting additional pressure on the Aussie dollar. Technical analysis shows AUD/USD breaking below the 0.6500 psychological support level, with next support at 0.6470 (50-day moving average). Resistance now sits at 0.6520. The combination of soft domestic data and a relatively stronger US dollar continues to pressure the pair lower. Traders are awaiting next week's RBA meeting minutes for further clarity on monetary policy direction, which could determine whether the current downtrend accelerates.
AUDUSD
Sentiment:
Negative
Source: Marketaux