The AUD/USD pair halted its five-day losing streak, trading around 0.6200 during European hours on Monday. The pair gained as the US Dollar (USD) remained weaker amid thin trading ahead of the New Year holiday, while the US Treasury bond yields depreciated. The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against a basket of six major currencies, is trading around 108.00, with the 2-year and 10-year yields on the US Treasury note at 4.30% and 4.59%, respectively. Source: FXStreet
EUR/USD traded sluggishly just above 1.0400 amid illiquid trading activity in the European session on Monday. The Euro (EUR) is set to end the calendar year down nearly 5.5% against the US Dollar (USD), which was hit particularly hard during the last three months of 2024 as the European Central Bank (ECB) maintained its dovish stance on interest rates. In addition, market participants are concerned about the Eurozone's economic growth as the impending tariff hikes from US President-elect Donald Trump are likely to destabilize its export sector. Source: FXStreet
Silver (XAG/USD) prices traded cautiously near Friday's lows around $29.50 in thin volumes before the New Year on Monday. The white metal was broadly under pressure as the US Dollar (USD) outlook remained firm on expectations that a moderate policy easing cycle by the Federal Reserve (Fed) in 2025 would keep US Treasury yields elevated. The 10-year US Treasury yield fell 0.5% in the European session on Monday but is still almost 15% higher this calendar year near 4.60%. The US Dollar Index (DXY), which tracks the Greenback against a basket of six major currencies, edged lower but remained...