Psychology for major markets July 24
A Friday Chop
EUR/USD – EUR/USD rebound before touching the 1.135 area support. There isn't much headline coming through so it seems like Friday's pre-emptive positioning.
USD/JPY – USD/JPY has refreshed another historic high above 163. It triggered BoJ officials' remark on increasing rate faster than a six month interval. Market participants maybe anticipating an October hike and is mostly looking forward to a hike before year end 2026. There does not seem to be much respect for potential intervention.
AUD/USD – The Aussie is not giving up to challenge the upside on softer USD. However, with risk appetite not upbeat, it is hard to see sustainable rally.
Equities & Others – Broader risk are sour on rising escalation between U.S.-Iran. The latest leg of development sees market participants worry about even less oil traffic from the Middle East.