Trading news

BNY’s Geoff Yu notes that the iFlow Carry index briefly turned negatively significant as investors sold nine of fifteen high-yield currencies, suggesting growing profit-taking after a resilient run.

USD/JPY stages a modest rebound on Wednesday after coming under pressure earlier in the day amid another suspected intervention by Japanese authorities. At the time of writing, the pair is trading around 156.42 after recovering from an intraday low near 155.00.

ING’s Senior Economist Min Joo Kang notes that South Korean inflation accelerated in April on higher energy prices, but government measures such as food vouchers, a gasoline price cap and frozen utility tariffs helped limit the increase.

Austan Goolsbee, President of the Federal Reserve (Fed) Bank of Chicago, spoke at the 2026 Milken Institute Global Conference in California, United States, on Wednesday. He stated that the impact of rising productivity on inflation remains an active topic of debate among the Fed.

Standard Chartered economists Carol Liao and Shuang Ding argue that both the US and China are incentivised to keep their bilateral relationship stable as President Trump’s 14–15 May visit approaches.

West Texas Intermediate (WTI) US Oil tumbles on Wednesday, trading around $92.30 at the time of writing, down 7.62% on the day as investors rapidly unwind geopolitical risk premiums following reports of a potential agreement between Washington and Tehran.

US equities pushed higher on Wednesday as risk appetite returned on signs that the US-Iran conflict could be heading toward a broader resolution. The Dow Jones Industrial Average (DJIA) added roughly 540 points to close above 49,800 after testing levels near 50,000 intraday.

BNY’s Geoff Yu argues Latin American FX and equities now represent a single crowded ‘total return’ trade, with all regional currencies still overheld while bond holdings begin to reverse unevenly.

Silver (XAG/USD) gains traction on Wednesday as renewed optimism surrounding a potential US-Iran peace deal triggers a sharp decline in the US Dollar (USD) and Oil prices. At the time of writing, XAG/USD is trading around 77, up over 5.50% on the day.

GBP/USD rises by over 0.59% on Wednesday after an Axios report revealed that the US and Iran are closing in on a deal to end the war. The Greenback fell on the news, even though US jobs data crushed estimates, which could prompt the Federal Reserve to focus on inflation.

EUR/USD trades higher on Wednesday as renewed optimism surrounding a potential US-Iran peace deal pressures the US Dollar (USD) and lifts the Euro (EUR).

AUD/USD surges near the 0.7240 price region, supported by improving risk sentiment after Axios reported that the United States (US) and Iran are moving closer to a deal aimed at ending the conflict.

MUFG’s Derek Halpenny notes that renewed hopes for a peace deal with Iran and a sharp drop in Brent crude Oil are pressuring the US Dollar (USD), with risk appetite supported by strong global equities and AI-driven gains.

Brown Brothers Harriman’s (BBH) Elias Haddad highlights that USD/SEK has fallen on broad Dollar weakness while Sweden’s April disinflation surprised to the downside, reducing Riksbank hike expectations.

Albert Musalem, President of the Federal Reserve (Fed) Bank of St. Louis, spoke at the Mississippi Bankers Association on Wednesday. He said that uncertainty around tariffs and war are headwind.

EUR/JPY trades around 183.50 on Wednesday at the time of writing, down 0.61% on the day, as the Japanese Yen (JPY) benefits from stronger demand amid fears of intervention by Japanese authorities in the foreign exchange market.

United States EIA Crude Oil Stocks Change came in at -2.314M, above forecasts (-2.8M) in May 1

TD Securities analysts argue the US Dollar (USD) faces asymmetric downside risk around the April US payrolls release.

EUR/GBP trades flat on Wednesday after trimming earlier gains as geopolitical headlines surrounding a potential US-Iran peace deal triggered fresh volatility across the FX market.

BNY highlights a broad Eurozone PMI downturn, with the composite back in contraction and services particularly weak, while producer prices and input costs re‑accelerate. The bank notes markets assume ECB policy cannot diverge much from peers, a view it challenges.