The lack of high -impact economic data over the course of this week is likely to drive slower price movements than last week.
Last week was loaded with important data such as employment data reports as well as the results of policy meetings by several major central banks that have driven market movements.
After a hawkish -toned decision by the central bank that has moved into a policy tightening phase, the European currency has exhibited an outstanding performance over the past week.
However, following the US NFP jobs report which recorded a surge in job growth in January, the US dollar is likely to return to shine this week to put more pressure on other major currencies.
The poor performance of the Wall Street market also signaled risky market sentiment to investors.
These factors also support the US dollar as a safe-haven currency as well as driven by the NFP employment report.
While high-yielding currencies such as the Australian dollar and New Zealand are likely to be expected to display a dismal performance in the risk-off market sentiment.
However, the Aussie and Kiwi dollars managed to increase in value in the Asian session this morning to start this week's trading well.
In addition, the 10 -year US treasury yield, which often drives the movement of the US dollar, also hovered positively at a high of 1.90% after reaching a record high since December 2019.
Monitoring commodity markets, crude oil prices reportedly rose on Monday to re-cut previous losses with positive expectations of an increase in global demand in addition to the positive development of US-Iran nuclear talks.
Gold also showed an increase in value at the opening of trading earlier in the week which was still gaining traction due to concerns over rising price pressures which was also a key discussion by central banks.
