The US Dollar is leveling off at 103.8, with the DXY index finding support at 103.60 and resistance around 104.60. The greenback will likely stay within this range until a winner is called for the US election.
Today’s main focus for the US and the rest of the world is the US presidential election, with polls showing a tight contest between Harris and Trump.
The contest is especially close in key battleground states of Arizona, Georgia, Michigan, Nevada, North Carolina, Pennsylvania, and Wisconsin.
With the chance of vote recounts, legal challenges, and election-related disorder, let’s see how this plays out over the next few days.
EURUSD trades below 1.09 at the beginning of the session after reaching highs of 1.0910 on Monday.
Eurozone Manufacturing PMI came in at 46.0, coming close to forecasts of 45.9. Today, ECB President Christine Lagarde will deliver a keynote speech at the French Competition Authority’s 15th Anniversary Event in Paris.
GBPUSD trades between 1.2950 and 1.30, staying within a tight channel as traders await the US election. Dollar sell-off due to election uncertainty has supported cable above the 1.2950 level, and will remain in the area until we learn more about the election results.
UK PMI data will be released today, with predictions matching the previous month’s figures. Composite PMI is predicted at 51.7, staying above the key 50 level and reflecting the UK private economy slightly expanding.
World News
The Reserve Bank of Australia announced that it left policy rates unchanged at 4.35%, coming in line with expectations.
The RBA sees inflation moving sustainably towards their target range, with RBA Governor Michele Bullock stating they are ready to act if the economy were to turn down more than expected. With that in mind, AUDUSD gained traction following the event and trading in the 0.6600 territory.
