Here’s what you need to know on Monday, July 6th.
The US Dollar Index (DXY) ended the day around the 100.90 mark, as investors reacted to some assertive remarks from Federal Reserve Governor Christopher Waller and solid US services data. Waller emphasized the Fed’s dedication to achieving a 2% inflation target, which he described as a credible goal. He also indicated that the job market seems to be stabilizing, and the risks associated with policy are shifting as inflation prompts a response.
USD price today
The table below outlines the percentage changes of the US dollar (USD) against major currencies today. Notably, the dollar showed strength against the Japanese yen.
| USD | EUR | GBP | JPY | CAD | Australian Dollar | New Zealand Dollar | Swiss Franc | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.06% | -0.31% | 0.44% | 0.08% | -0.24% | 0.15% | 0.21% | |
| EUR | 0.06% | -0.24% | 0.48% | 0.13% | -0.15% | 0.21% | 0.27% | |
| GBP | 0.31% | 0.24% | 0.74% | 0.35% | 0.03% | 0.46% | 0.53% | |
| JPY | -0.44% | -0.48% | -0.74% | -0.37% | -0.67% | -0.30% | -0.16% | |
| CAD | -0.08% | -0.13% | -0.35% | 0.37% | -0.32% | 0.08% | 0.17% | |
| Australian Dollar | 0.24% | 0.15% | -0.03% | 0.67% | 0.32% | 0.41% | 0.49% | |
| New Zealand Dollar | -0.15% | -0.21% | -0.46% | 0.30% | -0.08% | -0.41% | 0.07% | |
| Swiss Franc | -0.21% | -0.27% | -0.53% | 0.16% | -0.17% | -0.49% | -0.07% |
The heat map illustrates percentage changes between major currencies. If you look at, say, USD in the left column and compare it with JPY in the top row, the change in the box gives the percentage shift represented by USD (base) to JPY (quote).
EUR/USD lacked significant momentum, trading around the 1.1440 mark. Isabel Schnabel from the European Central Bank (ECB) cautioned that despite falling oil prices, the eurozone isn’t reverting to its previous state. She mentioned ongoing shocks are creating potential ripple effects that shouldn’t be ignored.
GBP/USD edged up to about 1.3390, seemingly unaffected by the strength of the US dollar. Investors are keeping an eye on the differing stances of the Bank of England and the Fed, especially regarding inflation concerns.
The strong demand for USD, along with resilient US economic indicators, pushed USD/JPY up to 162.10. If the yen keeps weakening, market sensitivities to yield differences and fresh statements from Japanese officials may become prominent.
AUD/USD rose to around 0.6960 after Australia’s inflation gauge reported a decline to 3.9% year-on-year from 4.4% in June. This lower inflation eased pressure on the Reserve Bank of Australia (RBA) to stick to its aggressive monetary policy approach, influencing Australian prices.
West Texas Intermediate (WTI) crude oil continues to attract attention, hovering near $68.70 per barrel. Schnabel’s warning about the potential persistence of inflation, despite the recent drop in oil prices, has heightened sensitivity in energy markets to geopolitical risks and their possible secondary inflation effects.
Gold found it difficult to gain traction, staying around $4,160, as the dollar remained propped up by Waller’s remarks. Precious metals seem vulnerable with Fed officials pushing back against expectations for rate cuts, tightening their stance on inflation control.
