The Dow Jones Industrial Average (DJIA) churned chart paper on Monday, finding a near-term floor at the 45,400 level. Investors continue to lean into bets that the Federal Reserve (Fed) will deliver an interest rate cut on September 17.
USD/JPY has bounced from its August low near 146.20 but remains capped by the 200-day moving average. Failure to clear resistance around 150.90–151.20 would keep downside risks in play, with a break below 146.20 opening the door to a deeper correction, Société Générale's FX analysts note.
The Canadian Dollar (CAD) has firmed a little on the session, catching a mild lift amid broader US Dollar (USD) losses but gains are lagging decent intraday gains for the NZD and AUD amid positive risk appetite, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.