FxAnalysis

AUD/USD is consolidating near 0.6585, with technicals favoring a push toward 0.6700 as traders await US inflation data and the Fed’s next move.

The Euro (EUR) gave back two days of gains on Tuesday, with EUR/USD sliding toward the 1.1720–1.1710 band.

Spot Gold kept rallying to record highs on Tuesday, reaching $3,674.63 early in the American session. The run was triggered by headlines indicating that Israel launched an attack on Qatar, targeting Hamas leaders, including Khalil Al-hayya and Zaher Jabarin.

The Australian Dollar (AUD) gave back some ground on turnaround Tuesday, cutting short its two-day rebound. AUD/USD slipped back under pressure soon after touching seven-week highs north of 0.6600 the figure.

The EUR/USD pair peaked at 1.1780 on Tuesday, retreating from the level during European trading hours and currently trading at around 1.1730. The US Dollar (USD) pared its early slide ahead of data releases, with the immediate focus on the Nonfarm Payrolls (NFP) revisions.

After holding fire in July, the ECB looks like it may have shut the door on further rate cuts for now. Inflation is still sitting just above target, and growth prospects, while modest, aren’t dire enough to push the Governing Council into more easing.