FxWirePro: AUD/USD gains modestly as Geopolitical risks keep markets cautious 
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Market Roundup
• UK Halifax House Price Index (MoM) (Aug) -0.2%, 0.2% forecast, -0.1% 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
• Switzerland Foreign Reserves (USD) (Aug) 770.1B, 768.1B previous
• Switzerland Unemployment Rate n.s.a. (Aug) 3.0%, 3.0% previous
• Switzerland Unemployment Rate s.a. (Aug) 3.1%, 3.1% forecast, 3.1% previous
• EU GDP (QoQ) (Q2) 0.6%, 0.4% forecast, -0.2% previous
• EU GDP (YoY) (Q2) 0.5%, 1.0% forecast, 0.3% previous
• EU Employment Change (YoY) (Q2) 0.5%, 0.5% forecast, 0.5% previous
• EU Employment Overall (Q2) 1,76,448.2K, 1,76,577.2K forecast, 1,76,308.0K previous
• EU Employment Change (QoQ) (Q2) 0.1%, 0.1% forecast, 0.1% previous
•France French 12-Month BTF Auction 2.940%, 2.860% previous
•France French 3-Month BTF Auction 2.540%, 2.533% previous
•France French 6-Month BTF Auction 2.720%, 2.655% previous
Looking Ahead Economic Data (GMT)
•No Data Ahead
Looking Ahead Events And Other Releases (GMT)
•Events Ahead
Currency Forecast
EUR/USD : The euro edged higher 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.The main event this week is Friday's U.S. inflation report, which could shape the Federal Reserve's decision on whether to raise interest rates later this month and influence the dollar's direction. The European Central Bank also meets on Thursday and is widely expected to raise euro zone interest rates. Traders pricing a roughly 60% chance of a Federal Reserve rate hike this month 0#USDIRPR following Friday's stronger-than-expected U.S. nonfarm payrolls report.. Immediate resistance can be seen at 1.1680(38.2%fib), an upside break can trigger rise towards 1.1734(Higher BB).On the downside, immediate support is seen at 1.1656(Daily low), a break below could take the pair towards 1.1585(38.2%fib).
GBP/USD: The British pound firmed on Monday as investors digested British finance minister John Healey's first major economic speech. Healey announced plans to give city regions greater powers to attract private investment as part of Prime Minister Andy Burnham's push to devolve power away from central government, and also stressed his commitment to fiscal discipline and to curbing rising costs for business and the public.But much of what he said about his focus on growth, cutting regulation and tackling the cost of living was a continuation of the policy of his predecessor Rachel Reeves. Immediate resistance can be seen at 1.3685(23.6%fib), an upside break can trigger rise towards 1.3716(Higher BB).On the downside, immediate support is seen at 1.3624(Daily low), a break below could take the pair towards1.3531(38.2%fib).
AUD/USD: The Australian dollar firmed on Monday as expectations of another Reserve Bank of Australia (RBA) rate hike in September supported Australian dollar.Australia's household spending jumped 1.1% in July, data showed on Thursday, suggesting consumer demand remained resilient despite higher borrowing costs. That added to a hot inflation report on Wednesday that had swap markets pricing a rate hike from the Reserve Bank of Australia (RBA) next month as a coin toss, at 53%probability.Stronger-than-expected household spending, together with still-elevated inflation, has reinforced the view that the RBA may need to tighten policy again. Immediate resistance can be seen at 0.7178(Higher BB), an upside break can trigger rise towards 0.7201(23.6%fib).On the downside, immediate support is seen at 0.7093 (38.2%fib), a break below could take the pair towards 07054(SMA 20)
USD/JPY: The U.S. dollar slipped lower against yen on Monday as expectations for a September BoJ rate hike strengthened, supporting the yen buying.Bank of Japan Governor Kazuo Ueda last week 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.Markets are pricing in a 75% chance the Bank of Japan will raise rates a quarter point at its meeting on September 18, with a 60% probability of another move by December.Japan's foreign reserves posted their biggest-ever drop in August, government data showed on Monday, after Tokyo launched another round of record dollar-selling, yen-buying intervention to stem persistent weakness in its currency.The reserves stood at $1.208 trillion at the end of August, down by a record $79.6 billion, or 6.18%, from $1.287 trillion a month earlier, according to the Ministry of Finance (MOF) data. Immediate resistance can be seen at 156.53(38.2%fib), an upside break can trigger rise towards 157.00(Psychological level).On the downside, immediate support is seen at 154.11(Daily low) a break below could take the pair towards 154.00 (Psychological level).
Equities Recap
European shares edged lower on Monday as oil prices climbed following fresh exchanges of strikes between the United States and Iran, reviving concerns over inflation and raising expectations that the European Central Bank may need to continue tightening monetary policy beyond this week’s meeting.
UK's benchmark FTSE 100 was down by 0.08 percent, Germany's Dax was down by 0.11 percent, France’s CAC was up by 0.33 percent.
Commodities Recap
Gold eased on Monday after stronger-than-expected U.S. jobs data boosted expectations for a Federal Reserve rate hike this month, reducing the appeal of the non-yielding metal.
Spot gold was down 0.4% at $4,407.98 per ounce by 10:26 a.m. E.T (1425 GMT). U.S. gold futures for December delivery fell 0.5% to $4,453.10, with trading volumes low due to a U.S. holiday.
Oil prices hovered near six-week highs on Monday, approaching $100 a barrel, as tit-for-tat strikes between the United States and Iran on vessels in and around the Strait of Hormuz heightened fears of prolonged supply disruptions and kept crude flows from the Middle East constrained.
Brent crude futures were up 89 cents, or 0.92%, at $97.17 a barrel by 1333 GMT, having earlier hit their highest point since July 24 at $97.93.
