Psychology for major markets Sep 26
USD firmer after upward revision to Q2 GDP. Tariff concerns returning after latest announcement on pharma.
EUR/USD – USD generally firmer after upward revision to Q2 GDP. EUR/USD pressing lower, with pharma tariffs also potentially a negative.
USD/JPY – USD/JPY testing the top end of the recent range, having rejected the break lower seen after the FOMC, helped by higher US yields, but spreads still suggest gains likely to be temporary.
EUR/GBP – Holding below the year’s high of 0.8763 with the EUR softening after the weak IFO survey, but upside risks still dominate.
AUD/USD – Falling back after stronger US Q2 GDP revision and some decline in risk sentiment helped by new tariff announcements
Equities – S&P edging lower from all time highs as US yields recover and tariff concerns return.