Forex Today: Further range bound not ruled out ahead of key week
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Forex Today: Further range bound not ruled out ahead of key week

The small bias towards the risk-associated galaxy weighed on the Greenback at the beginning of a new trading week, although the consolidative mood is predicted to kick in soon ahead of Powell’s testimonies, the ECB meetings and key US NFP.

Here is what you need to know on Tuesday, March 5:

The continuation of the recovery in the risk complex kept the pressure under the US Dollar, sparking the second daily pullback in a row in the USD Index (DXY). On March 5, the final S&P Global Services PMI is due, seconded by the ISM Services PMI, Factory Orders, and the RCM/TIPP Economic Optimism Index. In addition, the Fed’s M. Barr is due to speak.

EUR/USD added to gains seen at the end of last week and rose to multi-session peaks around 1.0860. In the euro docket, the final HCOB Services PMIs in Germany and the broader euro bloc are only due on March 5.

The renewed selling pressure in the Greenback allowed GBP/USD to rise to four-day highs in levels just shy of 1.2700 the figure. In the UK, the BRC Retail Sales Monitor is expected on March 5, along with the final S&P Global Services PMI.

USD/JPY maintained the upside momentum unchanged and flirted with the 150.60 zone amidst the weaker Dollar and rising US yields. Tokyo inflation figures and the final Jibun Bank Services PMI are scheduled for March 5.

AUD/USD ignored the soft tone in the Greenback and put the 0.6500 support to the test once again, reversing two daily advances in a row. The final Judo Bank Services PMI is due along with the Q4 Current Account.

In China, all the attention is expected to be on the National People’s Congress along with the release of the Caixin Services PMI.

Prices of WTI corrected lower after two straight sessions of gains, slipping back below the $80.00 mark per barrel as traders digested news that the OPEC+ will extend its oil output cuts through Q2.

Prices of Gold reached multi-week highs around $2,100 per troy ounce on the back of steady speculation about the Fed’s rate cut in June. Silver followed suit and rose to fresh two-month tops near $23.50 per ounce amidst the persistent selling pressure in the Greenback.