BNY’s Head of Markets Macro Strategy Bob Savage highlights that the Canadian Dollar (CAD) has been among the best-performing G10 currencies over the past two weeks, helped by steady inflows during the Iran conflict.

AUD/USD trades around 0.7090 on Tuesday at the time of writing, up 0.25% on the day, rebounding after an initial pullback following the Reserve Bank of Australia (RBA) monetary policy decision.

ING’s Francesco Pesole notes the Reserve Bank of Australia (RBA) delivered a split 25 bp hike to 4.10%, initially read as dovish and triggering a sell-the-fact move in AUD/USD before a rebound on Governor Bullock’s comments.

The Japanese Yen (JPY) claws back its early losses against the US Dollar (USD) during the European trading session on Tuesday.

The EUR/USD pair holds onto Monday’s gains slightly above 1.1500 during the European trading session on Tuesday. The major currency pair trades firmly as the US Dollar (USD) has come under pressure ahead of the Federal Reserve’s (Fed) monetary policy announcement on Wednesday.

Eurozone ZEW Survey – Economic Sentiment below expectations (24) in March: Actual (-8.5)

Germany ZEW Survey – Economic Sentiment below forecasts (38.7) in March: Actual (-0.5)

Germany ZEW Survey – Current Situation came in at -62.9, above forecasts (-67.1) in March

MUFG’s Senior Currency Analyst Lee Hardman notes that the RBA delivered a second consecutive 25 bps hike to 4.10%, now the highest policy rate among G10 central banks, and that Australian Dollar gains versus the US Dollar were initially strong but faded.

Standard Chartered strategist Nicholas Chia notes that the Reserve Bank of Australia raised the cash rate to 4.10% in a 5-4 split decision, largely debating timing rather than direction.

ING’s Francesco Pesole argues that even under a severe and prolonged Gulf conflict, European gas prices are unlikely to revisit 2022 extremes, supporting a constructive medium-term view on EUR/USD.

MUFG’s Senior Currency Analyst Lee Hardman highlights that USD/JPY is stalling just below 160.00 as Japan’s Finance Minister Katayama escalates verbal intervention, stressing readiness to respond at any time.

The USD/CAD pair trades in a tight range around 1.3700 during the European trading session on Tuesday. The Loonie pair consolidates as investors await monetary policy announcements by the Bank of Canada (BoC) and the Federal Reserve (Fed) on Wednesday.

USD/CHF remains flat after paring daily gains, trading around 0.7880 during the European hours on Tuesday.

Here is what you need to know on Tuesday, March 17:

Silver price (XAG/USD) remains subdued after registering modest gains in the previous session, trading around $80.80 per troy ounce during the early European hours on Tuesday.

The Pound Sterling (GBP) trades lower against its major currency peers, except the New Zealand Dollar (NZD), is down 0.27% to near 1.3280 during the European trading session on Tuesday.

The NZD/USD pair attracts some sellers to around 0.5820 during the early European trading hours on Tuesday. The US Dollar (USD) edges higher against the Kiwi as traders weigh developments in the Iran war.

Commerzbank’s Volkmar Baur highlights that the Reserve Bank of Australia delivered a second rate hike this year, but AUD/USD remains below 0.71 and choppy.

The GBP/JPY pair edges up to near 212.00 during the early European trading session on Tuesday.

The EUR/GBP cross holds steady near 0.8635 during the early European session on Tuesday. Traders prefer to wait on the sidelines ahead of the European Central Bank (ECB) and the Bank of England (BoE) interest rate decisions later on Thursday. Also, the UK employment report will be released. 

The AUD/USD pair claws back a majority of its early losses, which arrived after the Reserve Bank of Australia’s (RBA) interest rate decision, and rebounds to near 0.7085, following Governor Michele Bullock’s press conference.

The EUR/USD pair trades in negative territory around 1.1490 during the early European session on Tuesday.

The Indian Rupee (INR) trades lower against the US Dollar (USD) in the opening trade on Tuesday. The USD/INR pair rebounds to near 92.90 after a correction on Monday as the Indian Rupee resumes its downside journey amid the continuous outflow of foreign funds from the Indian stock market.

The USD/JPY pair attracts some dip-buying during the Asian session on Tuesday and stalls its modest pullback from the 159.75 area, or the highest level since July 2024, retested the previous day.

EUR/JPY extends its gains for the second successive session, trading around 183.10 during the Asian hours on Tuesday. The currency cross appreciates as the Japanese Yen (JPY) struggles amid the BoJ's widely expected to keep interest rates unchanged at 0.75% on Thursday.

The AUD/NZD cross trims a part of its intraday gains to the 1.2120 area, or the highest level since May 2013, following the key Reserve Bank of Australia (RBA) rate decision, though it lacks follow-through selling.

The AUD/USD pair attracts some sellers to near 0.7060 during Asian trading hours on Tuesday. The Australian Dollar (AUD) edges lower against the US Dollar (USD) after the Reserve Bank of Australia (RBA) interest rate decision.

AUD/JPY pares its daily gains, trading around 112.50 during the Asian hours on Tuesday. The currency cross loses ground as the Australian Dollar (AUD) struggles following the release of the Reserve Bank of Australia (RBA) policy decision.

GBP/USD inches lower after registering nearly 0.75 gains in the previous session, trading around 1.3310 during the Asian hours on Tuesday.