Markets tread water, ahead of the key US PCE inflation indicator, release later tonight. The Challenger Jobs Report revealed big cuts to jobs in the US, which confirmed the narrative set by the contraction of jobs, with the ADP Jobs report the previous day. The US Labour market remains weak, adding pressure to the Fed to make a final rate cut, in the coming week. The USD remained subdued, with the EUR trading around 1.1650, while the GBP pushed up to 1.3350.
Commodity currencies continue to benefit the weaker reserve, with the AUD consolidating above 0.6600, while the KIWI moves above 0.5750. All eyes are on the US PCE Inflation indicator, leading to the final rate decision from the Federal Reserve, next week.
