Forex Today: More US inflation alongside jobs in Oz

The US Dollar (USD) continued its upward trend on Wednesday, reaching new highs. This surge was driven by stronger-than-expected inflation data in September, which fueled speculation of additional rate hikes by the Federal Reserve. The US Dollar Index (DXY) broke past the 103.00 mark for the first time since April 2025, climbing close to this level.

Key economic indicators, including Initial Jobless Claims, Producer Prices, Business Inventories, Retail Sales, the Philadelphia Fed Manufacturing Index, and the EIA's weekly report on US crude oil stockpiles, are set to be released. Furthermore, Federal Reserve officials Bowman and Hammack are scheduled to speak. Meanwhile, the Euro against the US Dollar (EUR/USD) hit fresh 17-month lows near 1.1100, while the British Pound against the US Dollar (GBP/USD) dropped to levels not seen since November 2025.

The Japanese Yen (JPY) against the US Dollar (USD/JPY) has risen to challenge the 159.00 barrier, marking its highest point in a month. In Japan, Machinery Orders, Foreign Bond Investment readings, Capacity Utilisation, and final Industrial Production figures are anticipated. For Australia, the main focus will be on the labor market report.

WTI crude oil futures have approached the $96.00 mark, supported by heightened interest in Iran's strategies in the Strait of Hormuz. Gold has slipped below the $4,100 mark following the stronger Dollar and rising US Treasury yields, amid renewed expectations of further Fed rate hikes.