Silver price (XAG/USD) inches lower after opening at a bullish gap, trading around $66.00 per troy ounce during Asian hours on Tuesday.

The EUR/USD pair trades in positive territory around 1.1475 during the early European session on Tuesday. The Euro (EUR) edges higher against the US Dollar (USD) amid improved risk sentiment as traders pinned their hopes on US-Iran talks.

The AUD/JPY cross attracts fresh buyers following a modest Asian session dip to the 111.80 area on Tuesday and turns positive for the seventh consecutive day. Spot prices, however, remain below last week's swing high and currently trade around the 112.15-112.20 region, up nearly 0.15% for the day.

USD/CHF loses ground for the fourth consecutive day, trading around 0.8200 during Asian hours on Tuesday.

EUR/JPY extends its gains for the third consecutive day, trading around 180.60 during Asian hours on Tuesday. Technical analysis of the daily chart shows the currency cross remaining within a descending channel, suggesting a persistent bearish bias.

The AUD/USD pair loses ground to near 0.7115 during the Asian trading hours on Tuesday. The US Dollar (USD) strengthens against the Australian Dollar (AUD) as the Federal Reserve (Fed) raised interest rates to 3.75%–4.00% and hinted at further hikes before year-end.

The GBP/USD pair consolidates above mid-1.3300s during the Asian session on Tuesday and remains within striking distance of its lowest level since July 30, touched last week.

NZD/USD extends its losing streak for the third consecutive day, trading around 0.5700 during the Asian hours on Tuesday.

The USD/JPY pair gathers strength to around 157.55 during the early trading hours on Tuesday. A lack of explicitly hawkish guidance from the Bank of Japan (BoJ) after the rate hike last week undermines the Japanese Yen (JPY) against the US Dollar (USD).

The USD/CAD pair touches a fresh high since August 5 during the Asian session on Tuesday, though it lacks follow-through buying and remains below mid-1.4000s.

The People’s Bank of China (PBOC) sets the USD/CNY central rate for the trading session ahead on Tuesday at 6.7459 compared to the previous day's fix of 6.7487 and 6.6989 Reuters estimate.

The EUR/USD pair trades with mild gains near 1.1470 during the early Asian trading hours on Tuesday. Middle East diplomacy hopes provide some support to the riskier assets such as the Euro (EUR) against the US Dollar (USD). Traders await the Fedspeak later on Tuesday for fresh impetus. 

The Aussie Dollar holds firm versus the Greenback at the start of the week, hovering near 0.7119 as risk appetite remains positive despite Fed officials turning more hawkish than expected, ahead of the Trump-Xi summit in the US, later this week.

Japan's markets are shut from Monday to Wednesday for national holidays, which is when a government that wants to move its currency gets the most for its money. USD/JPY is higher for a fifth session in six and is trading just below 157.50.

The New Zealand Dollar extends its losses for the second straight trading session, down 0.13% after last week’s Fed rate hike and a hawkish tilt within the board, which was reinforced by speeches of Fed officials on Monday. The NZD/USD trades at 0.5717.

GBP/USD has stalled at 1.3400 in each of the last three sessions, and it trades just under that level again on Monday. The Dollar is up against most major currencies, so this is more a Dollar move than a Pound one.

AUD/USD reverses its earlier gains on Monday as a broadly firmer US Dollar (USD) and hawkish Federal Reserve (Fed) expectations cap the upside.

The US Dollar (USD) has started the week on a positive footing, rapidly leaving behind two daily drops in a row and refocusing on the upper end of its recent range amid steady bets for extra rate hikes by the Fed and reignited geopolitical tensions.

The Pound Sterling retreats by some 0.17% on Monday as the Greenback trades in the green following last week’s Fed rate hike, which widened the interest rate differential between the US and the UK, while still-high energy prices put pressure on major central banks to raise rates.

Bank of Canada (BoC) Governor Tiff Macklem, speaking in Halifax, Nova Scotia, on Monday, offered a cautious assessment of the economy as higher energy prices and US tariffs create competing risks for inflation and growth.

USD/CHF extends its pullback on Monday after climbing to 0.8263 last week, its highest level since May 2025.

ING’s Francesco Pesole notes that a reported Bank of Japan rate check briefly pushed USD/JPY below 157.0 and suggests authorities may focus on the pace of moves rather than a specific level.

USD/JPY extends its advance on Monday and trades around 157.45 at the time of writing, up 0.36% on the day.

EUR/USD trades with a downside bias on Monday as the US Dollar holds near recent highs, supported by expectations of additional Federal Reserve (Fed) interest rate hikes. Developments in the Middle East also remain in focus.

EUR/GBP trades around 0.8575 on Monday at the time of writing, virtually unchanged on the day. The Euro (EUR) struggles to regain bullish momentum against the British Pound (GBP), as political concerns in Germany partly offset support from falling Oil prices.

USD/CAD holds firm near the 1.4000 psychological mark on Monday as the Federal Reserve’s (Fed) hawkish outlook and widening US-Canada interest-rate differentials keep the Canadian Dollar (CAD) on the back foot.

OCBC’s Christopher Wong notes that the Japanese Yen (JPY) weakened after the BoJ’s 25 bp hike to 1.25% as limited guidance on further normalisation disappointed hawkish expectations.

The Euro (EUR) is consolidating last week’s decline against the US Dollar (USD) on Monday, with price action capped below 1.1500 and the seven-week low in the mid 1.1400s still on the bears’ radar.

Rabobank's Christian Lawrence and Molly Schwartz expect USD/MXN to trade broadly between 17 and 18 over the next 12 months. They see room for both Fed and Banxico rate expectations to be repriced, with the timing of those adjustments likely to drive near-term volatility.

GBP/JPY edges higher on Monday as the Japanese Yen (JPY) stays under pressure across the board in thin trading conditions. Japanese markets are closed until Thursday for the country’s Silver Week holidays.