EUR/USD extends its intraday decline on Thursday as a recovery in the US Dollar (USD) weighs on the Euro (EUR), while the European Central Bank’s (ECB) widely expected rate hike fails to offer support.

GBP/JPY edges higher on Wednesday as the Japanese Yen (JPY) weakens across the board, likely reflecting some profit-taking after the currency’s strong run since the start of the month.

UOB’s Quek Ser Leang and Lee Sue Ann describe EUR/USD as range-bound near 1.1630, with recent trading contained between 1.1619 and 1.1653. They maintain an upside bias but expect the Euro to stay within 1.1585–1.1670 in the coming weeks.

UOB’s Quek Ser Leang and Lee Sue Ann note USD/JPY weakness is stabilising around 153.45 after a drop to 152.92 and recovery to 153.54. They now expect consolidation between 153.00 and 154.30 intraday.

The Japanese Yen (JPY) continues to play a central role in reshaping broader macro dynamics, with its recent appreciation easing trade-weighted exchange rate pressures across Asia-Pacific (APAC) currencies and creating room for nominal appreciation in regional peers.

USD/CAD trades around 1.3820 on Thursday at the time of writing, up 0.11% on the day. The pair edges higher as investors await the release of the United States (US) Producer Price Index (PPI) data for August, scheduled for 12:30 GMT.

MUFG’s Lee Hardman highlights that EUR/USD has been gradually moving higher, supported by more energy-sensitive European yields and expectations of a hawkish ECB.

UOB’s Quek Ser Leang and Lee Sue Ann see AUD/USD steady near 0.7220 after quiet sessions, with intraday ranges around 0.7205–0.7238. They maintain that the Australian Dollar could edge higher but expect gains to stay within 0.7160–0.7240 over the next 1–3 weeks.

Commerzbank’s Tatha Ghose expects the Central Bank of the Republic of Türkiye (CBRT) to keep the one-week repo rate at 37.0%, but stresses that effective monetary conditions depend on liquidity tools.

EUR/CAD trades around 1.6060 on Thursday at the time of writing, virtually unchanged on the day. The cross consolidates as investors refrain from taking large positions ahead of the European Central Bank’s (ECB) monetary policy decision, due at 12:15 GMT.

GBP/USD remains stronger for the fourth successive day, trading around 1.3550 during the European hours on Thursday. The pair is maintaining a modest bullish bias as it holds above both the nine- and 50-day Exponential Moving Averages (EMAs).

The USD/JPY pair seesaws between tepid gains and minor losses through the first half of the European session on Thursday, consolidating its recent heavy losses to a nearly seven-month low, touched earlier this week.

The Swiss Franc (CHF) has given back previous daily gains against the US Dollar (USD) in a calm trading session on Thursday, as the USD/CHF pair returned above 0.8100, although it remains halfway through the weekly trading range.

The Euro (EUR) trades in a tight range at around 1.1640 against the US Dollar (USD) during the European trading session on Thursday. The major currency pair consolidates as investors await the European Central Bank’s (ECB) monetary policy decision, which will be announced at 12:15 GMT.

ING’s Frantisek Taborsky expects the Central Bank of the Republic of Türkiye (CBRT) to keep its policy rate at 37% for now, after normalising liquidity and lowering the effective funding rate.

The EUR/JPY cross struggles to capitalize on its modest intraday gains and trades around the 178.75 region during the first half of the European session on Thursday.

Commerzbank’s Michael Pfister notes that markets fully price today’s ECB rate hike and see around 85 basis points of additional tightening by mid-2027, heavily driven by Oil dynamics.

Here is what you need to know on Thursday, September 10:

The New Zealand Dollar (NZD) nudges higher against a depressed US Dollar (USD) on Thursday, but keeps its near-term bearish trend intact as high Oil prices and surging global yields keep market sentiment subdued.

BNY’s Geoff Yu notes that Japanese Yen (JPY) strength is reshaping APAC (Asia-Pacific) FX dynamics by easing prior effective exchange rate pressures and allowing more nominal appreciation in regional currencies.

The Australian Dollar (AUD) trades in a tight range at around 0.7215 against the US Dollar (USD) during the European trading session on Thursday.

The Euro (EUR) is trading sideways in a 15-pip range, roughly between 0.8580 and 0.8595 against the British Pound (GBP) on Thursday.

UOB’s Quek Ser Leang and Lee Sue Ann keep a neutral view on GBP/USD around 1.3545, noting recent sideways trade between 1.3531 and 1.3567. They now see a tighter 1.3495–1.3590 range as sufficient to contain price action.

The GBP/JPY cross gains some positive traction on Thursday and moves away from the year-to-date low, around the 207.00 neighborhood, touched earlier this week. Spot prices stick to modest gains above the 208.00 mark through the early European session, though the uptick lacks bullish conviction.

Michael Pfister highlights that comments from the US Treasury Secretary about having “asymmetric information” on Bank of Japan (BoJ) moves are intended to deter speculative positioning for further Japanese Yen (JPY) weakness.

The Canadian Dollar (CAD) trades sideways at around 1.3810 against the US Dollar (USD) during the European trading session on Thursday. The Loonie pair consolidates as investors await the United States (US) Producer Price Index (PPI) data for August, which will be published at 12:30 GMT.

The Euro (EUR) edges up against the US Dollar (USD) on Thursday, but remains capped below Wednesday’s highs, at the 1.1650 area so far.

The GBP/USD pair gains traction to near 1.3555 during the early European session on Thursday, bolstered by a weaker US Dollar (USD). Markets might turn cautious later in the day ahead of the release of the US Producer Price Index (PPI) data. 

The Japanese Yen (JPY) holds onto an over-a-week-long upside run against the US Dollar (USD) on Thursday. As of writing, the USD/JPY pair trades marginally lower to near 153.45 and is close to its over six-month low at 152.89 posted on Wednesday.

The AUD/JPY cross loses momentum to near 110.75 during the early European session on Thursday. The Japanese Yen (JPY) strengthens against the Australian Dollar (AUD) amid rising expectations of a near-term interest rate hike by the Bank of Japan (BoJ).