Forex Today: PMIs in Europe and Fedspeak will do the rounds

The US Dollar (USD) has picked up extra pace on Monday, reaching fresh tops on the back of persistent safe-haven demand, while fiscal concerns in Europe continued to weigh on the broader risk complex.

Here is what you need to know on Tuesday, October 6:

The US Dollar Index (DXY) has extended its move higher, revisiting the 102.50 region for the first time since April 2025 alongside a reignited upside impulse in US Treasury yields across the curve. The ADP Employment Change Weekly is due, followed by Balance of Trade results, the RCM/TIPP Economic Optimism Index, and the API’s weekly report on US crude oil inventories. In addition, the Fed’s Williams and Bowman are due to speak.

EUR/USD has kicked off its fifth consecutive week of losses, still suffering the constant bullish move in the US Dollar in combination with fresh fiscal jitters in the Euroland. Germany will release its Factory Orders data, while the S&P Global Construction PMI is also expected in Germany and the euro bloc, followed by EMU’s Retail Sales. Furthermore, the ECB’s Donnery, Buch, Cipollone and Elderson are expected to speak. 

GBP/USD has followed its risk-linked peers and started the week on the back foot, briefly slipping back below the key 1.3200 yardstick. The S&P Global Construction PMI will be the sole release across the Channel.

Further side-lined fashion saw USD/JPY navigate just above the 158.00 level, up modestly for the day. There will be a 10-year JGB Auction, which could gather some interest among investors. Additionally, the BoJ’s Ueda is due to speak.

AUD/USD has managed to build on Friday’s bounce, approaching the psychological 0.7000 hurdle despite further advance in the Greenback. In Oz, Westpac will publish its Consumer Confidence gauge.

Front-month WTI futures have added to Friday’s downtick and briefly pierced the $90.00 mark per barrel following increasing exports of crude oil from the Middle East coupled with the G7 announcement to release diesel and crude oil from their reserves.

Gold has traded in a bearish note, navigating just above the $4,100 mark per troy ounce on the back of extra gains in the US Dollar and the resumption of the upside impulse in US Treasury yields across the board.