Silver price (XAG/USD) gains ground for the second successive day, trading around $65.80 per troy ounce during the Asian hours on Friday. Non-yielding Silver gained support as falling oil prices helped ease inflation concerns, which in turn pushed government bond yields lower.

AUD/USD extends its gains for the second successive day, trading around 0.7120 during the Asian hours on Friday. The currency pair is appreciating as the Australian Dollar (AUD) strengthens following hawkish comments from Reserve Bank of Australia (RBA) Governor Michele Bullock.

The GBP/USD pair trades on a flat note around 1.3360 during the early Asian trading hours on Friday. Traders continue to assess the latest interest rate decisions and policy cues from the US Federal Reserve (Fed) and the Bank of England (BoE).

The USD/CAD pair oscillates in a narrow band during the Asian session on Friday, trading below the 1.4000 psychological mark or the highest level since August 7, touched earlier this week.

On Friday, the People’s Bank of China (PBOC) sets the USD/CNY central rate for the trading session ahead at 6.7521 compared to the previous day's fix of 6.7580 and 6.7065 Reuters estimate.

The USD/JPY pair attracts fresh buyers during the Asian session on Friday and currently trades above the 156.00 mark, near a two-week high as traders await the outcome of a two-day Bank of Japan (BoJ) meeting.

The EUR/USD pair trades with mild gains around 1.1480 during the early Asian session on Friday. The US Dollar (USD) edges lower against the Euro (EUR) amid lower US Treasury yields and moderating oil prices. Federal Reserve (Fed) Governor Michelle Bowman is set to speak later on Friday. 

The Australian Dollar recovered some ground versus the US Dollar on Thursday, following the Federal Reserve’s monetary policy decision on Wednesday, which witnessed a 0.25% rate hike and paved the way for further tightening.

The Bank of Japan’s (BoJ) monetary policy meeting will close a week packed with central bank decisions on Friday, with markets particularly interested in confirming expectations of a hawkish shift that has boosted a strong Japanese Yen (JPY) recovery in September.

The EUR/JPY drops by about 0.08% on Thursday, forming back-to-back spinning tops near the 180.00 area, the top of a consolidation range capped to the downside by 178.00. At the time of writing, the cross-pair trades at 179.02, below its opening price.

USD/JPY trades near 156.00 after a session high at 156.32 and a low at 155.34, which leaves it three Yen above the September 8 low and four below the September 2 high. The Bank of Japan announces at 02:45 GMT on Friday and a quarter-point increase to 1.25% is priced at 100%.

GBP/USD trades near 1.3350 after a session low at 1.3336, its weakest since the end of July, and it has been under its 200-day average since Wednesday. The Bank of England left Bank Rate at 3.75%, with three of its nine members voting for an increase to 4% and none voting for a cut.

GBP/JPY makes a U-turn and loses about 0.39% on Thursday as risk appetite improves, while traders await a potential rate hike by the Bank of Japan later in Friday’s session. The cross-pair trades at 208.32 after reaching a high of 209.19.

The Australian Dollar trades near 111.00 against the Yen and the New Zealand Dollar near 89.50, both a little higher and both a long way below where they were in August.

Commerzbank’s China-focused FX Research highlights that PBoC Governor Pan Gongsheng framed weaker loan growth as part of structural upgrading, signalling no imminent credit-driven stimulus.

EUR/GBP is trading higher on Thursday, climbing toward the 0.8600 barrier and touching its highest in several days. The Pound has slipped across the board after the Bank of England (BoE) held interest rates and struck a more cautious tone than much of the market had priced in.

Societe Generale’s technical team notes USD/BRL’s decline stalled near 4.88 in May and the pair has since traded within a base. Price action struggles above the 200-day moving average, signalling weak upside momentum.

USD/JPY trades cautiously on Thursday as attention shifts to the Bank of Japan’s (BoJ) monetary policy decision on Friday after the Federal Reserve (Fed) delivered a widely expected 25-basis-point rate hike on Wednesday.

USD/CHF trades slightly lower on Thursday as the Swiss Franc regains some ground after falling for six straight days. The pullback comes as US Dollar (USD) buyers take a breather following the sharp rally triggered by the Federal Reserve’s (Fed) hawkish monetary policy announcement on Wednesday.

NZD/USD rebounds on Thursday, trading around 0.5730 at the time of writing, up 0.35% on the day. The New Zealand Dollar (NZD) benefits from stronger-than-expected domestic growth data, allowing the pair to recover from the two-month low reached on Wednesday.

The Pound Sterling extended its losses on Thursday, following the Bank of England's decision to hold rates unchanged in a 6-3 vote, while leaving the door open for a potential hike. This and Wednesday’s Fed decision capped the GBP/USD advance, with the pair trading at 1.3381, down over 0.23%.

United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann note USD/JPY surged above 156.30 to a high of 156.41, with momentum still modest but supportive of further gains. Intraday, the pair could test 156.50 while holding above support at 155.40.

Scotiabank strategists Shaun Osborne and Eric Theoret say EUR/USD is stabilizing after Wednesday’s Fed decision, as improving Germany-US 2-year yield spreads and a hawkish ECB stance support the euro.

AUD/USD rebounds near the 0.7110s area on Thursday after the pair spent recent sessions nursing losses on bets for a hawkish Federal Reserve (Fed). At the time of writing, the pair rises by over 0.40%, but the rebound has little to do with anything out of Australia.

EUR/USD trades modestly higher on Thursday as falling Oil prices pull US Treasury yields away from their recent highs, prompting the US Dollar to trim part of its post-Fed gains. At the time of writing, the pair trades around 1.1492, up 0.24% on the day, hovering near levels last seen on July 31.

FX strategist Howard Du at TD Securities reiterates a bullish EUR/GBP stance after the Bank of England’s (BoE) cautious hold.

USD/CAD trades around 1.3980 on Thursday at the time of writing, little changed on the day and hovering near the psychological 1.4000 level. The US Dollar (USD) remains supported by better-than-expected employment data, while the Canadian Dollar (CAD) continues to face pressure from weak Oil prices.

Scotiabank strategists Shaun Osborne and Eric Theoret highlight USD/JPY trading near 155.65 with the Japanese Yen (JPY) outperforming G10 peers as markets price in a Bank of Japan (BoJ) hike alongside elevated domestic risk around CPI and policy decisions.

UOB’s Quek Ser Leang highlights building downside momentum in EUR/USD as the 21‑day EMA approaches a bearish cross below the 55‑day EMA. The pair has broken below the Ichimoku cloud and key moving averages, with support at 1.1400 and subsequent levels at 1.1353 and 1.1324.

Scotiabank strategists Shaun Osborne and Eric Theoret highlight that USD/CAD remains elevated near 1.40 after the FOMC, with the Canadian Dollar (CAD) underperforming peers as the Fed/BoC rate differential returns to 175bps.