Forex Today: Attention shifts to UK hard data and Fedspeak

The US Dollar (USD) has pushed harder, reaching levels last seen in April 2025 on the back of persistent bets over another interest rate hike by the Federal Reserve at its December gathering.

The US Dollar Index (DXY) has clinched fresh tops just pips away from the key 103.00 hurdle, a move widely underpinned by a marked rebound in US Treasury yields across the curve. The usual weekly Initial Jobless Claims are due alongside Existing Home Sales and the EIA’s weekly report on US crude oil stockpiles. Additionally, the Fed’s Hammack, Barr, Goolsbee and Daly are expected to speak.

EUR/USD has collapsed below 1.1100, reaching levels last traded in May 2025, always on the back of the sharp rebound in the US Dollar. The ECB’s Vujčić and Lagarde will speak amid an otherwise empty domestic calendar.

GBP/USD has tumbled to four-week lows, revisiting the 1.3270-1.3260 band following the Greenback’s solid performance. Next on tap in the UK will be the RICS House Price Balance, along with the preliminary Q3 GDP Growth Rate, flash quarterly Business Investment figures, Balance of Trade results, Construction Orders/Output, Industrial/Manufacturing Production and the NIESR Monthly GDP Tracker.

USD/JPY has climbed further, hitting fresh two-month tops while trading closer to the key 160.00 barrier. The weekly Foreign Bond Investment figures are due, followed by Producer Prices and the speech by the BoJ’s Asada.

AUD/USD has dropped to the vicinity of 0.6840 for the first time since January on the back of the increasingly offered stance in the risk-linked universe. Next in Oz will be the Consumer Inflation Expectations tracked by the Melbourne Institute, along with the speech by the RBA’s Baker.

Front-month WTI futures (December contract) have regained some traction, reversing three daily pullbacks in a row and reclaiming the area beyond the $87.00 mark per barrel following the resurgence of some effervescence in the Middle East.

Gold has built on Tuesday’s retracement, slipping back to the area below the key $4,000 mark per troy ounce. The continuation of the bearish tone in the precious metal has followed extra gains in the Greenback and a marked bounce in US Treasury yields across the board.