Will the U.S. dollar, which has been strengthening in U.S. trading hours, see a shift following the release of the FOMC minutes?

Will the U.S. dollar, which has been strengthening in U.S. trading hours, see a shift following the release of the FOMC minutes?

08.01.2025

In yesterday’s U.S. currency trading, the U.S. dollar emerged as the strongest currency during U.S. trading hours. The USD/JPY pair traded between 157.390 and 158.416, with price action straddling the 20-period moving average on the hourly chart. On the 4-hour chart, the candlesticks have extended to the +2σ level of the Bollinger Bands, while on the daily chart, the 10-period moving average is acting as a support level, with the pair currently rebounding.We will be closely monitoring whether the release of today’s FOMC minutes causes the US dollar to shift.

Among European currencies, the euro weakened against Oceania currencies. The EUR/AUD pair fell from 1.6644 to 1.6541. It pulled back after encountering resistance at the 200-period simple moving average (SMA) on the hourly chart. On the 4-hour chart, the pair continues to hover around the 20-period moving average (MA). The daily chart shows a similar price pattern to the 4-hour chart. We will be watching to see if the euro rebounds against other currencies during European trading hours.

Today, at 4:00 PM, German manufacturing orders and retail sales; at 4:45 PM, French trade balance; at 7:00 PM, Eurozone producer price index; at 9:00 PM, U.S. MBA mortgage applications index; at 10:00 PM, remarks by Fed Governor Waller; at 10:15 PM, U.S. ADP employment report;22:30: U.S. Initial Jobless Claims, 24:00: U.S. Wholesale Inventories, 24:30: U.S. Weekly Crude Oil Inventories, 26:00: U.S. Weekly Natural Gas Storage, 27:00: U.S. 30-Year Treasury Auction, and 28:00: Release of the U.S. FOMC Minutes.We will be watching closely to see if the US dollar, which has been firming during US trading hours, will shift direction following the release of the FOMC minutes.