Psychology for major markets August 29th

EUR/USD – Breaking back below 1.11 on softer than expected CPI data. But yield spreads are unlikely to move far so some consolidation likely.

USD/JPY – USD/JPY holding below 145 despite generally positive risk tone with yield spreads still pointing lower.

EUR/GBP – EUR/GBP continues to edge lower after BoE Bailey suggested no Sep cut and has reversed rise seen on equity weakness. Sentiment remains GBP positive.

AUD/USD – AUD testing the top of the year’s range. May need more positive China sentiment to break higher.

Equities – Powell helps equities, but Nvidia forward guidance puts the brakes on gains