Market Update - 31 July 2026

Foreign Exchange (FX)

The US Dollar Index (DXY) maintained a firm tone, edging up toward 100.20 as macro uncertainty and central bank divergence anchored sentiment.

• USD/JPY: Spiked up to 160.70 (+0.74%) following the Bank of Japan’s decision to hold interest rates steady. The dovish hold triggered renewed Yen selling across the board, driving strong regional Asian stock rallies.

• EUR/USD: Softened slightly to 1.1507 (-0.14%) as resistance around key technical levels continues to cap upside recovery momentum.

• GBP/USD: Retreated mildly to 1.3446 (-0.11%). The pair remains in a consolidated range above 1.3400 following the hawkish Federal Reserve hold earlier in the week, with traders eyeing upcoming BoE signals.

• Commodity Currencies (AUD/USD, USD/CAD): AUD/USD eased slightly to 0.7023. USD/CAD held around 1.4017, elevated by Middle East geopolitical strains and ongoing commodity volatility.

Gold (XAU/USD)

• Spot / Futures: Trading around $4,083 – $4,096/oz.

• Market Drivers: Gold dipped slightly on intraday profit-taking as the US Dollar held gains. However, the precious metal is closing out July on track for its first monthly gain in five months. Safe-haven demand remains well supported by ongoing Middle East tensions and geopolitical risk.

• Key Levels: Immediate resistance rests near $4,124, with broader upside hurdles near $4,180. Support on the downside is holding around $4,003 to $4,060.

Crude Oil (WTI & Brent)

• WTI Crude: ~$82.33 / barrel

• Brent Crude: ~$85.90 / barrel

• Market Drivers: Crude prices consolidated after recent sharp gains driven by Middle East geopolitical developments and energy supply disruption concerns. Heightened tensions in key transit corridors continue to keep a solid floor under global energy prices heading into the weekend.

Summary Snapshot