The USD/JPY pair slumped on Monday during North American trading, falling sharply toward the 140.50 mark as the broader market reacted to escalating concerns surrounding the Federal Reserve’s independence.
The Australian Dollar (AUD) regained ground on Monday, lifting toward the 0.6400 area during the American session, as improving risk sentiment and a broadly weaker US Dollar (USD) helped AUD/USD shake off recent losses.
The USD/CAD pair continues to drift lower on Monday, trading near the 1.3800 level as the US Dollar remains on the defensive following a wave of political headlines.
The EUR/USD pair is gaining traction on Monday’s session, rising to the 1.1500 region and marking a 1% intraday increase. The pair sits mid-range between 1.1391 and 1.1572, with bullish sentiment supported by price action and technical indicators.
The EUR/GBP pair extended its positive momentum on Monday after the European session, holding near the 0.8600 area following a 0.31% daily gain. Price action hovered mid-range between 0.8577 and 0.8624, with bulls managing to sustain control without triggering a breakout.
The Pound Sterling (GBP) rallies sharply by over 0.70% on Monday as investors grew distrustful of United States (US) policymakers after White House Economic Adviser Kevin Hassett stated that President Donald Trump is seeking ways to sack Federal Reserve (Fed) Chair Jerome Powell.
The AUD/USD pair posts a fresh four-month high above 0.6400 on Monday. The Aussie pair strengthens as the US Dollar (USD) continues to get battered by United States (US) President Donald Trump threatening the “autonomous” status of the Federal Reserve (Fed).
In a post published on Truth Social on Monday, United States (US) President Donald Trump voiced his criticism over the Federal Reserve's (Fed) monetary policy and accused Fed Chairman Jerome Powell of lowering interest rates in late 2024 for political purposes.
The USD/JPY pair falls sharply to near 140.50 during North American trading hours on Monday. The pair cracks after breaking below the previous week’s low of 141.64 and aims to revisit the 21-month low of 139.60. The asset has shown significant weakness due to a sharp downside in the US Dollar (USD).
Japanese Yen (JPY) is up an impressive 1.0% against the US Dollar (USD) but a mid-performer among the G10 currencies in an environment of material USD weakness, Scotiabank's Chief FX Strategist Shaun Osborne notes.
Euro (EUR) is up an impressive 1.25% against. the US Dollar (USD) and outperforming all of the G10 currencies with the exception of Swiss Franc (CHF), Scotiabank's Chief FX Strategist Shaun Osborne notes.
In an interview with CNBC on Monday, Federal Reserve (Fed) Bank of Chicago President Austan Goolsbee noted that short-run inflation expectations are up and added that it's very important for long-run inflation expectations not to rise.
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