Trading news

Commerzbank’s Dr. Henry Hao notes that China’s Q2 2026 GDP growth slowed to 4.3% year-on-year, below Beijing’s 4.5%-5% target and consensus expectations. Fixed-asset investment contracted sharply, while June industrial output and retail sales surprised on the upside.

The US Dollar Index (DXY) falls 0.5% toward 100.40 as softer-than-expected United States (US) wholesale inflation reinforces signs that price pressure is easing. The headline Produce Price Index (PPI) declined 0.3% MoM in June, while the annual rate slowed to 5.5%, below the 6.2% forecast.

The USD/CHF breaks a rising wedge, tumbles over 0.62%, trading near three-day lows, as the pair clears the July 14 swing low of 0.8067. At the time of writing, the pair trades at 0.8041.

OCBC’s Sim Moh Siong and Christopher Wong expect Asian FX to trade with a better tone after softer United States (US) core Consumer Price Index (CPI) reduced near-term Fed hike expectations and pressured USD.

West Texas Intermediate (WTI) crude Oil consolidates modest losses on Wednesday but stays close to a one-month high as escalating Middle East tensions keep supply risks around the Strait of Hormuz in focus. At the time of writing, WTI trades around $78.70, up roughly 10% so far this week.

The US Dollar (USD) is under strong selling pressure on Wednesday, yet action around XAU/USD is muted.

The Gold price turns negative on Wednesday, even though the last two US inflation reports showed that prices are dropping, though developments in the Middle East sent energy prices higher. At the time of writing, the XAU/USD traded at $4,034, down some 0.53%.

EUR/USD trades higher near the 1.1450 area on Wednesday as the US Dollar (USD) weakens following softer-than-expected United States (US) Producer Price Index (PPI) data.

Silver (XAG/USD) trades on the back foot on Wednesday, struggling to capitalize on a weaker US Dollar (USD) as hawkish Federal Reserve (Fed) expectations keep bears in control. At the time of writing, XAG/USD trades around $57.55, down 1.90% on the day.

The Dow Jones Industrial Average spent most of Wednesday rewarding the disinflation trade and the final two hours dismantling it.

The Japanese Yen (JPY) holds modest gains against the US Dollar (USD) on Wednesday but struggles to extend its recovery despite a broadly weaker Greenback following softer-than-expected US inflation data. At the time of writing, USD/JPY trades around 162.14, down 0.07% on the day.

Federal Reserve (Fed) Chair Kevin Warsh said on Wednesday that current inflation pressure will not be permanent, while acknowledging that the latest inflation measures remain unsatisfactory.

The Pound Sterling rises by some 0.60% against the US Dollar after the latest Producer Price Index (PPI) in the US showed prices edging lower, driven by the dip in energy prices since late May. At the time of writing, the GBP/USD trades at 1.3460 after bouncing off a daily low of 1.3370.

Colombia Retail Sales (YoY) came in at 11.7%, above expectations (11.2%) in May

Federal Reserve (Fed) Chair Kevin Warsh said on Wednesday that recent inflation figures provide an imperfect measure of underlying inflation. Warsh made the remarks while testifying on the Semiannual Monetary Policy Report before the US Senate Committee on Banking, Housing and Urban Affairs.

BNY’s Geoff Yu highlights Japanese Prime Minister Sanae Takaichi’s warning that Japan must build a strong economy now, rejecting claims that an economic blueprint drove the JGB selloff.

USD/CAD trades flat on Wednesday as traders show a limited reaction to the latest Bank of Canada (BoC) monetary policy announcement. At the time of writing, the pair trades around 1.4061, hovering near a one-month low.

Chris Turner at ING says EUR/USD rallied on softer US CPI but warns that rising Oil and European natural gas prices limit upside. He expects EUR/USD to struggle above 1.1460/70 and potentially retreat toward 1.1360/80 if Oil gains another leg higher.

United States EIA Crude Oil Stocks Change came in at -1.693M, above forecasts (-2.6M) in July 10

Federal Reserve (Fed) Bank of New York President John Williams said on Wednesday that the latest United States (US) Consumer Price Index (CPI) report was consistent with the inflation progress he hopes to see over the coming months.