AUD/USD extends losses on Friday, slipping to levels last seen in late March. A firmer US Dollar, weaker risk appetite amid the AI-led stock-market rout and cautious Reserve Bank of Australia (RBA) guidance following this week’s rate hike all contribute to the decline.

The Pound Sterling dives by nearly 0.60% against the US Dollar as a stellar US Nonfarm Payrolls report indicates that the labour market is solid and clears the path for additional tightening by the Federal Reserve (Fed). The GBP/USD trades at 1.3371 after peaking near 1.3463.

USD/JPY rebounds on Friday, snapping a two-day losing streak as stronger-than-expected US jobs data lifts the US Dollar (USD) and brings its yield advantage over the Japanese Yen (JPY) back into focus. At the time of writing, USD/JPY trades around 158.30 after hitting an intraday low of 157.26.

ABN AMRO analyzes overlapping supply-side shocks, including energy, food and supply bottlenecks, that are pushing Eurozone inflation higher.

USD/CAD accelerates its rally on Friday, gaining 0.78% to trade around 1.4120 at the time of writing, as stronger-than-expected United States (US) employment figures boost the US Dollar (USD), while disappointing Canadian labour market data weigh on the Canadian Dollar (CAD).

EUR/USD slips on Friday, erasing all gains recorded this week as stronger-than-expected US Nonfarm Payrolls (NFP) data boosts demand for the US Dollar (USD). At the time of writing, the pair trades around 1.1132, down 0.77% on the day.

Chris Turner at ING highlights Banxico’s surprise 3-2 vote to cut its policy rate to 6.25%, narrowing the Banxico-Fed spread to 225bp, the lowest in decades. He notes Banxico’s focus on weak Mexican growth and a negative output gap, with limited concern about Peso-driven inflation. Turner argues this stance leaves the Peso exposed to external risk, making a move in USD/MXN above 19 more likely than not.

GBP/JPY trades with a mild bearish bias on Friday as investors favour the safe-haven Japanese Yen (JPY) over the British Pound (GBP) amid a deepening AI-led stock-market rout.

EUR/GBP trades flat on Friday, consolidating within the tight range seen so far this week. The subdued price action suggests bears are taking a breather after five consecutive weekly losses that pushed the cross into oversold territory.

The New Zealand Dollar (NZD) is falling sharply on Friday as the US Dollar (USD) outperforms its major currency peers amid the risk-off mood and market expectations of a strong US Nonfarm Payrolls (NFP) report later in the day.

The Australian Dollar (AUD) faces intense selling pressure against the US Dollar (USD) on Friday. In the European trade, the AUD/USD pair posted a fresh seven-month low at 0.6862.

Chris Turner at ING describes the Euro’s recent performance as unimpressive, with EUR/USD failing to benefit from the US tech sell-off. He argues that European investors are keeping cash in Dollars and that familiar safe-haven correlations with US Treasuries have returned.

EUR/JPY trades lower on Friday, losing 0.13% on the day to hover around 176.80 at the time of writing.

Eurozone Retail Sales (MoM) registered at -0.7%, below expectations (-0.1%) in September

Eurozone Retail Sales (YoY) below expectations (0.6%) in September: Actual (0.4%)

The Japanese Yen (JPY) has reversed earlier gains with the US Dollar (USD) boosted by higher safe-haven demand amid the risk-averse mood, and with investors bracing for a strong US Nonfarm Payrolls (NFP) report later in Friday.

The Canadian Dollar (CAD) faces a significant selling pressure against the US Dollar (USD) on Friday. In the European trade, the USD/CAD pair is up 0.45% higher to near 1.4073.

The US Dollar (USD) posts marginal gains against the Swiss Franc (CHF) on Friday, but remains trapped within previous ranges, with the doji candles in the daily chart showing a hesitant market.

The GBP/JPY cross attracts sellers for the second straight day on Friday, extending this week's retracement slide from the 23.75 region, or a two-month high.

The Euro (EUR) wavers without a clear trend against the British Pound (GBP) on Friday, unable to take any significant advantage of the bright German Industrial Production figures released earlier on the day.

The USD/JPY pair struggles to capitalize on its intraday bounce from the weekly low, touched earlier this Friday, trading below the 158.00 mark during the early European session. Traders now look to the closely watched US Nonfarm Payrolls (NFP) report for some impetus heading into the weekend.

United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann note a modest pickup in downside momentum in USD/JPY after a volatile session. They expect the pair to trade with a bearish intraday bias toward 157.20, potentially testing major support at 157.00, with resistance at 158.10 and 158.30. Over 1–3 weeks, they still anticipate broad range trading between 157.00 and 159.00.

Here is what you need to know on Friday, November 6:

NZD/USD remains subdued for the second successive day, trading around 0.5560 during European hours on Friday. The pair is depreciating as the US Dollar (USD) gains support amid widespread market caution.

The Indian Rupee (INR) strengthens further against the US Dollar (USD) on Friday. The USD/INR pair posts a fresh nearly six-month low near 94.08, as of writing.

The Euro (EUR) trades lower for the second consecutive day on Friday, with the US Dollar (USD) favoured by risk aversion amid a tech-led sell-off in equity markets.

AUD/USD loses ground for the second consecutive day, trading around 0.6880 during Asian hours on Friday. The technical analysis of the daily chart suggests that the currency pair is remaining within a descending channel pattern, indicating a prevailing bearish bias.

The USD/CAD pair gains momentum to around 1.4050 during the early European trading hours on Friday. The US dollar (USD) edges higher against the Canadian Dollar (CAD) on safe-haven demand after the US equity sell-off.

The British Pound (GBP) trades lower against the US Dollar (USD) on Friday, extending its correction from an almost eight-week high of 1.3500 to near 1.3425 in the European trade.

The EUR/USD pair trades on a weaker note around 1.1195 during the early European trading hours on Friday. Markets might turn cautious later in the day ahead of the German Industrial Production, Eurozone Retail Sales and US employment reports, which are due later on Friday.