Investors should watch for the upside potential of the U.S. dollar, which has risen following President Trump’s remarks about suspending tariffs

Investors should watch for the upside potential of the U.S. dollar, which has risen following President Trump’s remarks about suspending tariffs

10.04.2025

In the previous day’s U.S. currency trading, the U.S. dollar strengthened toward the end of the U.S. trading session following reports that President Trump had announced a 90-day suspension of reciprocal tariffs. The EUR/USD pair fell from 1.1094 to 1.0914, moving from above the 20-period moving average (MA) to below it.On the 4-hour chart, the pair has pulled back after hitting resistance at the +2σ line of the Bollinger Bands, while on the daily chart, support at the 10-day moving average continues to hold.

Among European currencies, the pound rose against the US dollar. The GBP/JPY pair climbed from 184.388 to 189.813, rebounding up to the 200-period EMA on the hourly chart. While the RSI on the 4-hour chart has risen from 19 to 54, the pair continues to trade below the 20-period MA on the daily chart. We will be watching to see if the pound’s rebound holds during European trading hours.

Today’s economic indicators include the UK RICS House Price Index at 8:01, Japan’s Domestic Corporate Goods Price Index and Japan’s Foreign and Domestic Securities Investment at 8:50, remarks by RBA Governor Block at 19:00, South Africa’s Manufacturing Production at 20:00, U.S. Initial Jobless Claims and U.S. Consumer Price Index at 21:30, and Canada’s Housing Starts at22:00: Remarks by U.S. Federal Reserve Vice Chair Breeden; 23:00: Remarks by U.S. Federal Reserve Governor Bowman; 23:30: U.S. weekly natural gas inventories. We should watch for upside potential in the U.S. dollar, which has risen following U.S. President Trump’s remarks regarding a tariff suspension.