The Swiss Franc (CHF) trades flat against the US Dollar (USD) on Friday, reversing part of its earlier gains as the Greenback eases slightly from daily highs. At the time of writing, USD/CHF is trading around 0.7878 after briefly touching the 0.7900 mark.

EUR/USD trades with a mild downside bias on Friday as a modest rebound in the US Dollar (USD) weighs on the Euro (EUR), with price action lacking follow-through buying after failing to sustain a break above the 1.1600 mark.

The GBP/USD trims some of its Thursday’s gains, down by 0.84%, as traders turned risk-averse amid an escalation of the Middle East conflict and priced in no rate cuts by the Federal Reserve in 2026. At the time of writing, the pair trades below 1.3350 after hitting a daily high of 1.3442.

AUD/USD trades lower around 0.7040 on Friday at the time of writing, down 0.68% on the day, as the pair is pressured by a return of safe-haven demand despite supportive domestic factors in Australia.

USD/CAD recovers from intraday lows on Friday as softer-than-expected Canadian Retail Sales data weighs on the Canadian Dollar (CAD), while a rebound in the US Dollar (USD) provides additional support to the pair.

Scotiabank’s Analyst Team notes the Canadian Dollar is modestly firmer versus the Dollar and leading G10 peers, echoing its earlier conflict-phase outperformance. They highlight narrowing yield spreads and a relatively muted Bank of Canada meeting as key drivers.

EUR/GBP edges higher on Friday, recovering losses recorded in the previous day after the European Central Bank (ECB) and Bank of England (BoE) monetary policy announcements.

USD/JPY trades around 158.70 on Friday at the time of writing, up 0.61% on the day, staging a clear rebound after Thursday’s sharp decline. The move comes as the US Dollar (USD) regains traction following a bout of volatility, with markets reassessing the outlook for US monetary policy.

GBP/USD retreats on Friday, trading around 1.3380 at the time of writing, down 0.39% on the day, after Thursday’s strong rally following the Bank of England (BoE) decision.

Russia Interest Rate Decision in line with expectations (15%)

Eurozone Trade Balance s.a. climbed from previous €11.6B to €12.1B in January

Eurozone Trade Balance n.s.a. registered at €-1.9B, below expectations (€12.8B) in January

According to MUFG’s Derek Halpenny, the ECB’s communication and achievement of its price stability goal leave it in a relatively better position than the BoE, but he is sceptical that higher front-end Euro yields will sustain Euro strength.

ING’s Francesco Pesole highlights that the ECB’s cautious tone masks a hawkish shift, with officials reportedly considering an April rate hike if inflation overshoots. Markets now price earlier tightening and higher odds of back-to-back moves.

EUR/USD stays in a consolidation phase above 1.1550 after posting impressive gains on Thursday. Comments from policymakers could impact the pair's action in the near term.

Here is what you need to know on Friday, March 20:

The Canadian Dollar (CAD) outperforms its major currency peers, but trades flat against the US Dollar (USD) at around 1.3740 during the European trading session on Friday.

Germany Producer Price Index (MoM) below expectations (0.3%) in February: Actual (-0.5%)

Germany Producer Price Index (YoY) below forecasts (-2.7%) in February: Actual (-3.3%)

The AUD/USD pair trades with mild gains around 0.7090 during the early European session on Friday. The Australian Dollar (AUD) edges higher against the Greenback, following the hawkish stance from the Reserve Bank of Australia (RBA).

The USD/CHF pair edges higher to near 0.7890 during the early European trading session on Friday. The Swiss Franc pair gains as the US Dollar (USD) bounces back after a sharp sell-off the previous day.

The EUR/GBP cross loses traction to near 0.8620 during the early European session on Friday. The Pound Sterling (GBP) edges higher against the Euro (EUR) after monetary policy decisions from both the Bank of England (BoE) and the European Central Bank (ECB).

The Indian Rupee (INR) extends its downfall against the US Dollar (USD) in the opening trade on Friday after a holiday the previous day.

The GBP/USD pair trades 0.2% lower to near 1.3400 during the late Asian trading session on Friday. The Cable faces selling pressure as the US Dollar Index (DXY) rebounds after an over-a-percent decline the previous day.

The AUD/JPY cross attracts some buyers to near 112.20 during the early European session on Friday. The Australian Dollar strengthens against the Japanese Yen (JPY) on a hawkish tone from the Reserve Bank of Australia (RBA).

The USD/JPY pair is up 0.4% to near 158.33 during the Asian trading session on Friday. The pair recovers after a sharp sell-off on Thursday, as the Japanese Yen (JPY) underperforms despite the Bank of Japan (BoJ) retaining its hawkish stance on the monetary policy outlook.

The EUR/USD pair retraces from the weekly high of 1.1616 posted on Thursday, trades 0.2% lower at around 1.1560 during the Asian trading session on Friday. The major currency pair corrects as the US Dollar (USD) attempts recovery after a sharp sell-off.

The Canadian Dollar (CAD) trades marginally higher against its major currency peers in the Asian trading session on Friday.

The NZD/USD pair gathers strength to around 0.5880 during the Asian trading hours on Friday. The New Zealand Dollar (NZD) edges higher against the US Dollar (USD) on a narrower-than-expected New Zealand trade deficit.

GBP/USD rallied nearly 1.3% on Thursday, climbing back above the 1.3400 handle to close around 1.3430 in a session defined by broad US Dollar weakness and a hawkish Bank of England (BoE) surprise.