Thursday ended with the EUR/USD being high above of local resistance of 1.10. What's the target now?
Greenback loses in Asia after North Korea nuclear test
On Monday, the evergreen buck held weaker in Asia. It’s because at the weekend North Korea announced it successfully tested a hydrogen bomb, thus powering tensions with the United States, Japan, South Korea, to say nothing of its angering ally China.
Gauging the greenback’s value versus a trade-weighted basket of six crucial currencies, the US dollar index went down 0.25% being worth 92.59.
The currency pair USD/JPY hit 109.72, sagging 0.49%. At the same time AUD/USD reached 0.7960, descending 0.10%. As or EUR/USD, this currency pair also demonstrated revenues, soaring 0.21% and getting to 1.1885.
Meanwhile, Australia’s business inventories went down 0.4% for the first quarter as expected and from a 1.2% ascend during the previous period. Additionally, company gross operating revenues tumbled 4.5%, which is more than the 4 dive observed in the second quarter, and versus the previous 6% leap.
The Reserve Bank of Australia will publish its statement and announce the interest rate on July 7, at 7:30 MT time.
The overall market sentiment was mixed after the USA recorded the largest increase in virus cases since May 9. The data even offset the better-than-expected NFP.
The risk-on tone is back on the market again. Let’s look at main trading opportunities.