The Canadian Dollar (CAD) caught a slight bid on Tuesday, gaining some ground against the softening US Dollar (USD) heading into a quiet midweek.

The EUR/USD pair trades within a limited range on Tuesday, holding above the 1.1600 mark but unable to extend gains beyond an intraday peak in the 1.1660 region. The pair is hovering around 1.630 in the American afternoon, lacking a clear bias.

Following Monday’s decent gains, USD/JPY faces renewed downside pressure on turnaround Tuesday, coming all the way down to retest the 147.00 region, where some decent contention seems to have turned up.

Generally encouraging United States data revived optimism among market players.

USD/JPY lost its traction and declined below 147.00 after posting strong gains on Monday. Although the pair recovers above 147.50 region in the second half of the day on Tuesday, it remains in negative territory.

The Euro (EUR) is clawing back ground on Tuesday, with EUR/USD rebounding after Monday’s hiccup and edging toward the 1.1650 area. Continued upside could put a test for the monthly highs near 1.1740 (August 22) back on the radar.

Following Monday's bearish action, GBP/USD stages a rebound on Tuesday. At the time of press, the pair was up 0.25% on the day at 1.3485.

Brazil Mid-month Inflation registered at -0.14% above expectations (-0.23%) in August

The Euro (EUR) is up 0.2% against the US Dollar (USD) and outperforming all of the G10 currencies in quiet trade, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.

The Canadian Dollar (CAD) is trading in a tight range and entering Tuesday’s NA session with a marginal gain against the US Dollar (USD)

The AUD/USD pair ticks higher to near the psychological level of 0.6500 during the European trading hours on Tuesday.

The Euro posted a significant reversal from the 0.8670 area on Monday, printing a bearish engulfing candle on the daily chart. This figure has strongly negative connotations and has shifted the pair’s focus towards the key support area around 0.8600.

The US Dollar has retraced its previous gains against the loonie on Tuesday, retreating to levels right below 1.3850 after being capped at intra-day highs near 1.3870.

AUD/USD dipped slightly but remains within its multi-month 0.6400-0.6600 range, BBH FX analysts report, BBH FX analysts report.

US Dollar (USD) is expected to trade in a range between 146.70 and 148.00. In the longer run, outlook is mixed; USD could trade in a range between 146.40 and 148.40, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

The current price movements are likely part of a range-trading phase between 0.5830 and 0.5875.

One of the main developments at the start of this week has been the announcement from French Prime Minister Francois Bayrou that he has agreed with President Emmanuel Macron to call parliament back into session early in order to allow the government to present its budget plan and hold a confidence m

Australian Dollar (AUD) is likely to trade in a range of 0.6455/0.6505. In the longer run, slight increase in upward momentum is likely to lead to a higher range of 0.6440/0.6540 rather than a sustained advance, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Pound Sterling (GBP) is likely to trade in a range between 1.3440 and 1.3520. In the longer run, further GBP strength is not ruled out, but it is unclear if there is enough momentum for it to reach 1.3595, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

The Bank of Japan remains convinced that rising wage growth will lead to sustainably higher inflation. Meanwhile, lower inflation regarding food prices is pushing down the overall rate. Excluding energy and food, inflation has been below 2% for some time now.

EUR/JPY extends its losses for the second successive session, trading around 171.50 during the European hours on Tuesday. The technical analysis of the daily chart suggests the emergence of a bearish market bias as the currency cross is remaining slightly below the ascending channel pattern.

The British Pound is showing signs of topping after having reached one-year highs, right above the 200.00 round level against the Japanese Yen.

Euro (EUR) fell overnight. French PM Bayrou said he would call for a confidence vote on budget on 8 September in an effort to force political parties to take a position on the government’s budget proposals in parliament rather than through street protests planned for later that week.

Hitting EUR/USD late on Monday was the surprise announcement from French Prime Minister François Bayrou that he was calling a vote of confidence in his government's fiscal austerity plans on 8 September.

The Pound Sterling (GBP) ticks down to near 1.3440 against the US Dollar (USD) during the European trading session on Tuesday.

The US Dollar is regaining lost ground across the board amid a new twist in the Federal Reserve saga, as Governour Lisa Cook dismissed Trump’s call to resign and committed to carry on with her duties at the Central Bank.

The New Zealand Dollar is giving away previous gains against the US Dollar, and returns to the lower range of the 0.5800s after retreating from Monday’s highs in the area of 0.5880.

USD/CHF extends its gains for the second successive session, trading around 0.8060 during the Asian hours on Tuesday.

The EUR/GBP cross gains momentum to near 0.8645 during the early European session on Tuesday. The Euro (EUR) strengthens against the Pound Sterling (GBP) as the European Central Bank (ECB) signals a pause in monetary easing. The Bank of England (BoE) Catherine Mann is set to speak later on Tuesday. 

The USD/CAD pair trades with caution around 1.3850 against the US Dollar (USD) on Tuesday. The Loonie pair faces slight selling pressure as United States (US) President Donald Trump has fired Federal Reserve (Fed) Governor Lisa Cook over mortgage allegations.