Attention is turning to the upside potential of the U.S. dollar, which rose on the back of strong U.S. PMI data

Attention is turning to the upside potential of the U.S. dollar, which rose on the back of strong U.S. PMI data

25.07.2025

In the U.S. currency market yesterday, the U.S. dollar rose against the yen after the U.S. July PMI Purchasing Managers' Index, released yesterday, showed an upward revision from the previous month for both the non-manufacturing and composite indices.USD/JPY rose from 145.864 to 147.023. On the hourly chart, the price moved from below the 20-period moving average (MA) to above it. On the 4-hour chart, the 200-period exponential moving average (EMA) is acting as a support level, leading to a rebound, and during today’s Asian session, the pair has already surpassed yesterday’s high.

European currencies saw the euro rebound against the pound after the ECB’s monetary policy meeting yesterday resulted in the policy rate being held steady—marking the first time in eight meetings that a rate cut was not implemented, in line with market consensus. The EUR/GBP pair rose from 0.8661 to 0.8710, with prices moving along the 20-period moving average (MA) on the hourly chart.On the 4-hour chart, prices are also rising from the 20-period moving average, just as on the hourly chart, and on the daily chart, the uptrend continues, supported by the 10-period moving average.

Today’s economic indicators include the UK GfK Consumer Confidence Survey at 8:01, Japan’s Tokyo Consumer Price Index at 8:30, Japan’s Business Service Price Index at 8:50, Japan’s Foreign/inward securities investment, at 14:00 Japan’s Economic Trends Index, at 15:00 UK Retail Sales, at 15:45 France’s Consumer Confidence Index, at 17:00 Germany’s IFO Business Climate Index and Eurozone Money Supply, and at 21:30 US Durable Goods Orders. We will carefully assess the upside potential of the US dollar, which has risen on the back of strong US PMI data.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed