FxWirePro: AUD/USD falls as hawkish Fed signals underpin dollar 
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Market Roundup
• US S&P Global Manufacturing PMI (Sep) 57.0, 53.6 forecast, 53.9 previous
•US S&P Global Services PMI (Sep) 58.7, 55.8 forecast, 56.5 previous
•US S&P Global Composite PMI (Sep) 58.4, 56.0 previous
•US Fed Vice Chair for Supervision Barr Speaks
•US Crude Oil Inventories 2.969M, -0.700M forecast, -0.640M previous
•US Cushing Crude Oil Inventories 2.266M, -0.342M previous
•US EIA Weekly Refinery Utilization Rates (WoW) -2.8%, -1.0% previous
•US Gasoline Inventories -1.686M, 0.100M forecast, 0.794M previous
Looking Ahead Economic Data (GMT)
•00:30 Japan au Jibun Bank Services PMI (Sep) 52.5 previous
•00:30 Japan Manufacturing & Services PMI (Sep) 53.5 previous
•00:30 Japan au Jibun Bank Manufacturing PMI (Sep) 55.0 forecast, 54.9 previous
•01:30 Australia Unemployment Rate (Aug) 4.5% forecast, 4.5% previous
•01:30 Australia Full Employment Change (Aug) 16.3K previous
•01:30 Australia Employment Change (Aug) 22.5K forecast, -15.8K previous
•01:30 Australia Participation Rate (Aug) 66.9% forecast, 66.9% previous
Looking Ahead Events And Other Releases (GMT)
• No Events Ahead
Currency Forecast
EUR/USD : The euro dipped against dollar on Wednesday after figures showed that US business activity is expanding at its fastest pace in more than five years. US business activity raced to a more than five-year high in September, fueled by a surge in new orders, though strong demand strained supply chains and pushed prices higher.S&P Global said on Wednesday its flash US Composite PMI Output Index, which tracks the manufacturing and services sectors, increased to 58.4 this month. That was the highest level since July 2021 and followed a reading of 56.0 in August. A reading above 50 indicates expansion in the private sector. The rise in the PMI reflected strong gains in both the services and manufacturing sectors. Immediate resistance can be seen at 1.1450(Daily high), an upside break can trigger rise towards 1.1479(50%fib).On the downside, immediate support is seen at 1.1376(Lower BB), a break below could take the pair towards 1.1345(Lower BB).
GBP/USD: The British pound dipped on Wednesday as dollar extended its gains after S&P Global reported that the flash U.S. Composite PMI Output Index rose to 58.4 this month from 56.0 in August, marking its highest level since July 2021.The Federal Reserve last week raised its benchmark rate by 25 basis points to 3.75%-4.00% and signalled that another increase could come before year-end.Separate data showed .the S&P Global UK Services PMI fell to 51.7 in September from 52.5 in August, hitting a three-month low, preliminary data showed. Economists polled by Reuters had expected a reading of 52.0.Money markets are pricing UK interest rates at around 4.75% in a year, roughly one percentage point above the current 3.75% rate, implying four quarter-point hikes over the period. Immediate resistance can be seen at 1.3347(Daily high), an upside break can trigger rise towards 1.3397(50%fib).On the downside, immediate support is seen at 1.3224(Daily low), a break below could take the pair towards1.3178(23.6%fib).
USD/CAD: The Canadian dollar weakened against dollar on Wednesday as broad-based dollar strength and persistent trade uncertainty weighed on the Canadian economic outlook.Bank of Canada Governor Tiff Macklem said Monday that new U.S. tariffs could push Canada’s fourth-quarter growth below 1%, as uncertainty threatens to curb investment and hiring.Prime Minister Mark Carney last week announced measures to support the economy, including immediate tax write-offs for most new capital investments by businesses.The U.S. dollar rose to a nearly two-month high against a basket of major currencies as investors priced in further Federal Reserve rate hikes, while oil prices jumped after comments from Iran cast doubt on progress in peace talks.US crude oil futures were trading 2.2% higher at $92.49 a barrel. Oil is one of Canada's major exports. Immediate resistance can be seen at 1.4112(38.2%fib), an upside break can trigger rise towards 1.4207 (23.6%fib).On the downside, immediate support is seen at 1.4038(50%fib), a break below could take the pair towards 1.4000 (Psychological level).
USD /JPY : The U.S. dollar firmed against the yen on Wednesday after data showed US business activity racing to a more-than-five-year high in September, fueled by a surge in new orders.S&P Global said on Wednesday its flash US Composite PMI Output Index, which tracks the manufacturing and services sectors, increased to 58.4 this month, the highest level since July 2021. Expectations the Fed will hike rates by at least 25 basis points at its October meeting climbed after the data and were last at about 70%, up from roughly 53% before the release. Meanwhile, Investors are also waiting for a meeting between US President Donald Trump and Chinese President Xi Jinping, with the superpowers at odds over trade, technology and the Iran war. Immediate resistance can be seen at 159.40(50%fib), an upside break can trigger rise towards 160.00(Psychological lvel).On the downside, immediate support is seen at 157.26(61.8%fib 0) a break below could take the pair towards 156.50 (SMA20).
Equities Recap
European shares closed lower on Wednesday as oil prices rebounded to over $100 a barrel, pushing up government bond yields again as the Iran conflict showed no signs of an end.
UK's benchmark FTSE 100 closed down by 0.10 percent, Germany's Dax ended flat, France’s CAC finished the day up by 0.14 percent.
Wall Street ended lower on Wednesday, dragged down by Alphabet and Amazon as Treasury yields rose and Iran’s president said Tehran would never surrender to U.S. pressure.
Dow Jones closed down by 1.17 % percent, S&P 500 closed down by 0.58% percent, Nasdaq settled down by 0.32% percent.
Commodities Recap
Oil prices settled nearly 4% higher on Wednesday in volatile trading as investors assessed Iranian President Masoud Pezeshkian’s vow never to surrender, a day after U.S. President Donald Trump warned he could “annihilate” Iran..
Brent crude futures settled up $3.83, or 3.86%, to $103.08 a barrel, while West Texas Intermediate futures gained $1.64, or 1.81%, to $92.16.
Gold prices fell more than 1% to a near one-week low on Wednesday as hawkish signals from Federal Reserve policymakers strengthened expectations for further rate hikes and pushed the U.S. dollar to a two-month high, weighing on non-yielding bullion..
Spot gold was down 1.7% at $4,282.53 per ounce, as of 1:25 p.m. ET (1725 GMT), after having hit its lowest level since September 17 earlier. US gold futures for December settled 1.3% lower at $4,318.40.
