NZD/USD remains subdued for the second successive day, trading around 0.5910 during the Asian hours on Monday. However, the NZD/USD pair pares some of its daily losses as the New Zealand Dollar receives minor support following the release of China's NBS Purchasing Managers' Index (PMI) data.

AUD/USD edges higher after opening at a bearish gap, remaining in the negative territory and trading around 0.7160 during the Asian hours on Monday.

The USD/JPY pair kicks off the new week on a subdued note and trades around the 160.00 psychological mark during the Asian session, just below a one-month high, touched on Friday.

On Monday, the People’s Bank of China (PBOC) sets the USD/CNY central rate for the trading session ahead at 6.7828 compared to Friday's fix of 6.7811 and 6.7344 Reuters estimate.

US Treasury Secretary Scott Bessent ‌said on Sunday recent Japanese Yen (JPY) moves ‌were "pretty well contained," suggesting the Japanese currency's renewed weakness were not seen as the kind of disorderly moves that led to a rare joint Japan-US intervention last month, Reuters reported.

The AUD/USD pair loses traction to near 0.7160 during the early Asian session on Monday.

South Korea Industrial Output (YoY): 3.6% (July) vs previous 5.8%

South Korea Industrial Output Growth: 0.2% (July) vs previous 6.4%

Commerzbank’s Charlie Lay reports that the Bank of Korea (BoK) delivered a second consecutive 25 bp hike to 3.0% and kept a tightening bias, supporting KRW after its sharp appreciation since June.

Commerzbank’s Charlie Lay reports the Bank of Korea has delivered back-to-back 25bp hikes to 3.0%, front-loading tightening as growth and core inflation forecasts rise. The bank signals one more hike over six months but may pause to assess effects.

The Mexican Peso depreciates against the US Dollar on Friday, down by over 0.42% on hawkish remarks by Fed Chair Kevin Warsh at the Jackson Hole Symposium. This prompted investors to price in a potential rate hike in 2026, a tailwind for the Greenback.

AUD/USD retreats 0.30% on Friday to trade around 0.7170 at the time of writing, correcting after reaching its highest level since mid-May at 0.7206 earlier in the day.

Japan delivered the inflation and labour data the Bank of Japan needs to move next month and the Japanese Yen is weaker for a fifth consecutive session.

Canada produced the strongest growth figure of the cycle and the Canadian Dollar is weaker for it.

The Pound Sterling tumbles versus the Greenback on Friday as the Federal Reserve Chair Kevin Warsh puts inflation as the priority on the Fed, increasing the likelihood of an interest rate hike later in the year. The GB/USD trades at 1.3538, down 0.40%.

EUR/USD falls sharply toward 1.1595 on Friday at the time of writing, losing 0.48% on the day, as the US Dollar (USD) rallies following Federal Reserve (Fed) Chair Kevin Warsh’s speech at the Jackson Hole Symposium.

EUR/USD trades around 1.1645 on Friday, posting a modest 0.07% decline on the day as investors adopt a wait-and-see approach ahead of a highly anticipated speech by Federal Reserve (Fed) Chair Kevin Warsh at the Jackson Hole Symposium.

USD/JPY rises 0.14% on Friday and trades around 159.60 at the time of writing, extending its advance for a fifth consecutive day.

BNY’s Geoff Yu highlights that European inflation is firming, with French and Spanish data reinforcing concerns for the European Central Bank (ECB). Governing Council members Kazaks and Schnabel are framed as hawkish voices, stressing the need to prevent persistent price pressures.

USD/CAD trades around 1.3845 on Friday, edging 0.07% lower on the day, as investors refrain from taking large positions ahead of the highly anticipated speech by Federal Reserve (Fed) Chair Kevin Warsh at the Jackson Hole Symposium.

ING’s Chris Turner notes a supportive backdrop for carry trades and says the Brazilian Real (BRL) is also benefiting from polling that narrows President Lula’s lead over Flavio Bolsonaro to one point.

The Australian Dollar (AUD) ticks higher for the fourth consecutive day against the US Dollar (USD) as investors brace for the Federal Reserve (Fed) Chairman Kevin Warsh’s speech at the Jackson Hole Symposium, due later on Friday.

Brown Brothers Harriman’s (BBH) Elias Haddad notes USD/CAD is trading just above its 200‑day moving average near 1.3840 as Canada’s Q2 GDP is expected to rebound strongly, with real GDP seen rising 3.4% SAAR versus a slight Q1 contraction.

Silver (XAG/USD) heads north for the second consecutive day on Friday, with all eyes on the Federal Reserve (Fed) Chairman Kevin Warsh’s speech at the Jackson Hole Symposium, due later on the day.

United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann highlight AUD/USD’s third consecutive daily gain, with the pair stalling just under the 0.7200 resistance.

MUFG highlights that rising European natural gas prices are reviving inflation risks, which could push the Bank of England toward another rate hike and underpin the Pound.

Commerzbank’s Michael Pfister reviews EUR/USD options, noting that risk reversals turned positive again after comments by the US Treasury Secretary.

The Swiss Franc (CHF) trades marginally lower against a somewhat firmer US Dollar (USD) on Friday, with market volatility subdued as investors await the speech of the Federal Reserve (Fed) Chairman, Kevin Warsh, at the Jackson Hole Symposium, due later on the day.

TD Securities’ FX strategist Howard Du maintains a bearish New Zealand Dollar (NZD) bias, noting that Reserve Bank of New Zealand (RBNZ) tightening is largely priced and NZD positioning has normalized.

United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann note USD/JPY held in a narrow band around 159.35, with a slight uptick in upward momentum. They expect this to translate into trading between 159.15 and 159.65 rather than a sustained advance.