[MARKET ANALYSIS] Choppy trade in the JPY whilst AUD awaits tomorrow’s RBA

DXY trades choppy, currently flat in a 98.04-98.22 range, with the index largely moving to energy price action, although overnight volatility in the JPY (see below) briefly swayed the DXY. EUR/USD trades in a 1.1720-1.1758 range and is largely moving with the Buck amid a lack of major newsflow for the region, with the pair still within Friday’s 1.1714-1.1785 range and with the 100 DMA seen at 1.1708. GBP/USD holds a mild upward bias above the 1.3550 mark on Bank Holiday and following a weekend of domestic politics ahead of the UK local elections on 7th May, viewed as a verdict on UK PM Starmer’s premiership. USD/JPY is volatile, perhaps unsurprisingly to an extent, given last week’s suspected intervention. Newsflow has been light with Japanese participants also away for Golden Week holidays. The pair saw a sudden dip of around 38 pips at 2:17 BST, which was swiftly pared. Antipodeans are modestly firmer against the USD as risk in Asia tilts higher. NZD narrowly outperforms, and the AUD/NZD cross approaches 1.2200 to the downside once again, with AUD traders looking ahead to the RBA announcement on 5th May.