Support
Asian session puts pressure on AUD and JPY
Both the Australian dollar and Japanese yen struggle to maintain pace, trailing behind other currencies.
Key indices in Asia performed well, but Chinese markets showed mixed signals.
Australian dollar and Japanese yen face headwinds
Energy commodities face uncertainty amid Middle East tensions
Stock Market
Indices across Asia showcased resilience, with notable gains witnessed in key markets. However, the picture was mixed in China, where indices wavered. European index futures hinting to a higher opening.
Currencies
The Australian dollar found itself in the spotlight following the Reserve Bank of Australia's decision to maintain interest rates, aligning with market projections. Although the statement underscored a prolonged path to achieving inflation targets, the guidance on rates remained unchanged. However, murmurs from RBA Governor Bullock regarding rate adjustments injected a subtle element of uncertainty into the currency's trajectory.
Meanwhile, the Japanese yen faced headwinds as Masato Kanda, a pivotal figure in Japan's FX realm, asserted the absence of intervention necessity in a well-functioning market. This sentiment was echoed by the Japan business federation chairman, who deemed USD/JPY levels above 150 excessive, contributing to the yen's weakening stance.
the Australian dollar and Japanese yen struggled to maintain pace, trailing behind their counterparts.
Commodities
Energy commodities navigated a mixed landscape, with WTI prices potentially poised for appreciation amidst concerns over supply disruptions amid escalating Middle Eastern tensions.
Precious metals meandered through a mixed terrain, with gold edging lower. In contrast, platinum and palladium surged. All eyes remain fixated on Fed's Kashkari's impending speech, poised to offer insights into the central bank's policy stance and its implications for global markets.
