Forex Focus — Aug 16, 2026, 09:00 UTC

Transcript

The Dollar Index holds firm, driven by persistent inflation concerns. Major currency pairs shed pips. DXY strength is underpinned by recent Federal Reserve commentary. "Fed Officials Divided on Rate Hikes" signals ongoing hawkish sentiment. This divergence provides a tailwind for the greenback. EUR/USD trades at 1.1564, down a marginal 2 pips, or 2 basis points. The pair continues to face downward pressure. Dollar strength acts as a primary catalyst. For an exotic, USD/ZAR exhibited unusual volatility this week. Significant swings were observed, fueled by local political headlines. This highlights the inherent risks of carry trades. Central bank watch: Fed officials remain sharply divided on further rate hikes. This signals continued vigilance against inflation. The ECB's relatively dovish stance offers a contrast. Meanwhile, the BOJ's accommodative policy keeps USD/JPY near 159.23. Looking ahead, EUR/USD finds key support at 1.1550. Resistance appears firm around 1.1600. For USD/JPY, support is at 159.00, with resistance at 159.50. Stay ahead of the curve. This is Forex Focus on rawfin.tv.