The US dollar is trading with mixed performance against the G10 currencies. The dollar bloc, Japanese yen, and Swiss franc show slight declines, while European currencies are strengthening. All eyes are on the European Central Bank’s (ECB) rate decision and President Christine Lagarde’s press conference later today.
Meanwhile, gold remains steady, trading within a narrow range of $1,511 to $1,522. After hitting a low of nearly $65 per barrel earlier in the week, October WTI crude oil prices have stabilized, trading above $68, with initial resistance expected between $69 and $70.

Asia Pacific Markets
In the Asia Pacific region, the dollar rebounded from a low of JPY140.70 reached during yesterday’s session, the lowest level for the year. It climbed back to highs around JPY142.50, following a slightly stronger-than-expected core CPI print (0.3% vs. 0.2%). This dampened market expectations for a 50-basis-point rate cut by the Federal Reserve next week, marking the fourth adjustment in five sessions.
The Australian dollar’s movements were largely influenced by trading during the North American session, where it rebounded sharply and approached recent highs. Today, the Aussie reached a four-day high of $0.6695 before settling around $0.6675 in the European morning session.

European Markets
The ECB is the focal point of today’s market action. The central bank is expected to take three key steps: first, it will likely implement a second rate cut in the current cycle. Second, the ECB is expected to narrow the spread between the floor and the main refinancing rate, which currently stands at 50 basis points. Lastly, the ECB’s staff will update its economic projections.
The euro briefly approached the $1.10 level yesterday, with support seen at $1.0990, which represents a 50% retracement of last month’s rally. The next key level is around $1.0940. Currently, the euro is trading in a tight range between $1.1005 and $1.1025.
Sterling also saw notable moves yesterday, with an outside down day after trading both sides of Tuesday's range and closing below its low. Today, sterling is moving within a narrow band between $1.3035 and $1.3055.

American Markets
In the US, the focus has shifted to inflation data. After yesterday's CPI report, markets will be looking at August’s Producer Price Index (PPI) data today. This will help economists refine their forecasts for the Fed’s preferred inflation gauge, the PCE deflator. Weekly jobless claims will also attract attention, though the national employment data was released last week.
Yesterday, the US dollar touched CAD1.3625, its highest level since August 21, before retreating to CAD1.3565, where it remains stable today.