HSBC publishes daily commentary on major currency pairs, focusing on macro drivers, positioning, and market sentiment. The following quotes capture key observations and outlooks from its latest FX insights, offering a snapshot of how current dynamics are shaping currency markets.

EUR benefits from USD weakness

"EUR advanced against USD last Friday, supported by the greenback’s retreat, steady ECB rate expectations, and investors focusing on regional sentiment divergence over tariff threats."

"GBP strengthened against USD last Friday after upbeat UK retail sales boosted consumer outlook.The pound outperformed G10 peers amid broad USD softness. "

"AUD rose against USD last Friday, buoyed by strong jobs data and bets on an RBA rate hike. The currency extended gains on broad USD weakness and firm risk sentiment."

"CHF strengthened against USD last Friday, benefiting from the greenback’s sell-off and safe-haven demand. The franc’s move was in line with the wider G10 trend."

"NZD rose against USD last Friday, tracking the rally in risk assets and commodity currencies as the greenback weakened. Stable domestic sentiment also supported the move."

"CAD appreciated against USD last Friday, driven by rebounding crude oil prices and broad USD weakness. The move offset caution ahead of the BoC policy decision."

"JPY surged against USD last Friday, posting its sharpest gain in months amid speculation of official intervention and U.S. comments on bond market stress."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)