USD lower for second day
The US dollar fell for a second straight session as a wave of Federal Reserve commentary and data releases pointed to two rate cuts before year-end.
The Swiss franc, British pound and Japanese yen led gains, each rising around 0.5% against the greenback.
The Australian dollar climbed 0.4% but remains 3.0% below last month’s highs. The New Zealand dollar edged up 0.1%.
USD/CNH dipped 0.1%, while USD/SGD fell 0.2%.
Beige Book backs further easing
With the US government shutdown still in effect, each data release carries extra weight. The Fed’s Beige Book, published overnight, was closely watched.
The report, based on interviews with business leaders across the country, showed economic momentum had slowed over the past eight weeks, reinforcing Fed Chair Powell’s Tuesday remarks that the economy still needs support.
Stephen Miran, a recent Trump appointee who previously pushed for a 50-basis point cut, echoed calls for further easing. He cited the shutdown and US-China tensions as reasons for urgency and noted that markets now fully price in two 25bps cuts at the next two meetings.
Aussie jobs data in focus
Attention turns to Australia’s monthly employment report, due at 11:30am AEDT.
The jobs report has missed forecasts in three of the past four releases, suggesting a softening labour market.
This month, consensus expects 20,000 new jobs, with forecasts ranging from 10,000 (ANZ) to 45,000 (Citigroup).
AUD/USD is hovering near key support at the 200-day moving average of 0.6495. A weaker-than-expected result could push the pair below this level — a potential signal of further downside.
Greenback slips for second day
Table: seven-day rolling currency trends and trading ranges
Key global risk events
Calendar: 13 – 18 October
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*The FX rates published are provided by Convera’s Market Insights team for research purposes only. The rates have a unique source and may not align to any live exchange rates quoted on other sites. They are not an indication of actual buy/sell rates, or a financial offer.
