Dollar struggles continue to start July trading

USD/JPY is now dipping towards the 143.00 mark for the first time in a little over two weeks. The pair is now down 0.7% on the day at 143.03 as sellers keep the run going after the moves yesterday. Meanwhile, we are seeing USD/CHF fall closer towards 0.7900 as well as it continues to lack a floor below the 0.8000 mark. From earlier: Dollar beaten down at month-end but now the real test begins

GBP/USD is also seen up 0.2% to 1.3760 but the commodity currencies are not too much changed against the dollar at least. USD/CAD is down 0.1% to 1.3598 with AUD/USD marginally higher at 0.6584 on the day. That said, the latter is well off its earlier low of 0.6553 so that puts things into context for the session.

The only non-mover of sorts is EUR/USD which is flattish at 1.1780 currently. The pair is sandwiched between two large option expiries today but I reckon ECB policymaker de Guindos’ remarks on the euro here is also holding some weight. It’s a case of the police is watching so you probably don’t want to be stepping on the gas pedal and going too far, too fast.

This article was written by Justin Low at www.forexlive.com.