Investors assess mixed US economic signals and Japan’s 0.5% Q1 growth ahead of Thursday’s ECB rate decision.
The US Dollar Index (DXY) hovers near 100.00, reflecting cautious trading as resilient US data contrasts with easing geopolitical tensions. Iran’s reported end to military operations against Israel has lifted risk sentiment, offsetting dollar support from strong domestic indicators.
EUR/USD remains firm around 1.1530, bolstered by a rise in Eurozone investor confidence. The Sentix index improved to -13.4 in June from -16.4, while markets anticipate a potential ECB rate hike on Thursday. USD/JPY trades flat near 160.20, with Japan’s 0.5% quarterly GDP growth countering reduced safe-haven demand for the yen.
AUD/USD edges toward 0.7050, supported by the softer dollar tone and improved market sentiment. The dollar showed strength against the Swiss franc but faces mixed performance across major currencies as traders await key central bank decisions.