FxWirePro: AUD/USD gains modestly as Geopolitical risks keep markets cautious 
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Market Roundup
• Japan Coincident Indicator (MoM) (Jul) 1.7%, 0.6% previous
•Japan Leading Index (MoM) (Jul) 1.7%, 0.0% previous
•Japan Leading Index (Jul) 118.1, 117.9 forecast, 116.2 previous
•UK Halifax House Price Index (MoM) (Aug) -0.2%, 0.2% forecast, -0.1% previous
•UK Halifax House Price Index (YoY) (Aug) -0.4%, 0.1% previous
•Germany Industrial Production (MoM) (Jul) -1.1%, 0.1% forecast, 0.0% previous
•Germany Industrial Production (YoY) (Jul) -1.63%, -0.43% previous
Looking Ahead Events And Other Releases (GMT)
•09:00 EU GDP (QoQ) (Q2) 0.4% forecast, -0.2% previous
•09:00 EU GDP (YoY) (Q2) 1.0% forecast, 0.3% previous
•09:00 EU Employment Change (YoY) (Q2) 0.5% forecast, 0.5% previous
•09:00 EU Employment Overall (Q2) 1,76,577.2K forecast, 1,76,308.0K previous
•09:00 EU Employment Change (QoQ) (Q2) 0.1% forecast, 0.1% previous
Looking Ahead Events And Other Releases (GMT)
• No Events Ahead
Currency Forecast
Currency Forecast
EUR/USD : The euro traded flat against the U.S. dollar on Monday as escalating tensions in the Middle East heightened inflation risks and raised the prospect of other major central banks tightening policy alongside the Federal Reserve. Data on Friday showed U.S. job growth accelerated sharply in August while the unemployment rate held steady at 4.1%, suggesting an improvement in the labour market after recent struggles and keeping a rate increase this month on the table.U.S. producer price index (PPI) data is due on Thursday, followed by consumer price index (CPI) data on Friday.Traders are pricing in a 58.4% chance of a rate hike at the Fed's September 15-16 meeting, CME's FedWatch tool showed. Immediate resistance can be seen at 1.1643(38.2%fib), an upside break can trigger rise towards 1.1712(23.6%fib).On the downside, immediate support is seen at 1.1613(SMA20), a break below could take the pair towards 1.1585(38.2%fib).
GBP/USD: The British pound edged higher on Monday as markets appeared looked past the immediate geopolitical developments, with broader focus remaining on U.S. monetary policy and upcoming inflation data.Markets have raised the probability of a 25-basis-point Fed rate increase in September to 58.3%, from 49.4% on Thursday, increasing support for the U.S. dollar. Attention now turns to U.S. producer and consumer inflation data, with PPI due Thursday and CPI on Friday, as the readings will be crucial in determining whether the Fed raises rates at its September 16 meeting. In the UK, investors will closely monitor parliamentary testimony from Bank of England Governor Bailey and other policymakers on Tuesday for clues on the central bank’s policy outlook. Friday will bring a busy UK data calendar, including July GDP, industrial production, manufacturing output and trade figures, which could provide fresh insight into economic momentum. Immediate resistance can be seen at 1.35575(SMA 20), an upside break can trigger rise towards 1.3658(23.6%fib).On the downside, immediate support is seen at 1.3504(38.2%fib), a break below could take the pair towards1.3453(Lower BB).
AUD/USD: The Australian dollar edged higher on Monday as traders eyed two upcoming central bank appearances and U.S. inflation data.RBA Deputy Governor Andrew Hauser will be interviewed by ABC on Tuesday evening, while Assistant Governor Sarah Hunter will speak at a Sydney property event Tuesday afternoon.U.S. August non-farm payrolls rose by 162,000, significantly exceeding the 56,000 increase expected by economists.U.S. inflation data will be in focus this week, with PPI due Wednesday and CPI on Thursday. Strong readings could boost Fed rate-hike expectations, while softer data may revive rate-cut bets. Immediate resistance can be seen at 0.7238(Higher BB), an upside break can trigger rise towards 0.7268(23.6%fib).On the downside, immediate support is seen at 0.7163 (38.2%fib), a break below could take the pair towards 07141(SMA 20)
USD/JPY: The U.S. dollar dipped against yen on Monday as the yen strengthened following hints from Japanese policymakers that interest rates will rise later this month. Bank of Japan Governor Kazuo Ueda said policymakers would consider a rate hike as early as September, with inflation risks a key factor in the decision, signalling a strong possibility of a rate increase this month.The remarks followed a U.S. Treasury statement that Treasury Secretary Scott Bessent had met with Ueda and urged “decisive” monetary action to address the weak yen, further strengthening expectations of a Japanese rate hike this month.In a separate speech in northern Japan, hawkish BOJ board member Hajime Takata said the central bank should raise interest rates “nimbly” in response to inflationary pressures rather than follow a fixed semiannual schedule, helping to prevent inflation from overshooting.The BOJ raised interest rates to a 31-year high of 1% in June, citing growing confidence that Japan was nearing a sustained achievement of its 2% inflation target. Immediate resistance can be seen at 156.21(Sept 4th high), an upside break can trigger rise towards 157.70(38.2%fib).On the downside, immediate support is seen at 155.58(Daily low) a break below could take the pair towards 155.29 (23.6%fib).
Equities Recap
Asian technology shares rallied on Monday as stronger-than-expected U.S. jobs data reinforced optimism about global economic growth, helping boost demand for growth-sensitive equities despite increasing expectations of a Federal Reserve rate hike.
China A50 was up by 0.49% , South Korea’s KOSPI was up at 4.61%, Nikkei was up at 2.02%
Commodities Recap
Gold slipped on Monday as stronger-than-expected U.S. jobs data boosted expectations that the Federal Reserve could raise interest rates this month, reducing the appeal of the non-yielding metal.
Spot gold was down 0.6% at $4,402.86 per ounce, as of 0420 GMT, after falling 1% on Friday.U.S. gold futures for December delivery were down 0.6% at $4,447.60.
Oil prices rose more than $1 a barrel on Monday as escalating U.S.-Iran attacks on vessels in and around the Strait of Hormuz heightened fears of a prolonged disruption to Middle Eastern crude supplies.
Brent crude futures climbed $1.20, or 1.25%, to $97.48 a barrel by 0727 GMT while U.S. West Texas Intermediate crude was at $92.62 a barrel, up $1.14 cents, or 1.25%.
