Forex Today: US Q2 GDP and the labour market take centre stage

The US Dollar (USD) ended the day alternating gains with losses, giving away strong gains recorded earlier in the day on Wednesday. This irresolute price action came amid unabated concerns surrounding the Fed's independence and the absence of important developments on the trade front.

Here's what to watch on Thursday, August 28:

The US Dollar Index (DXY) returned to the low-98.00s as the NA session drew to a close on Wednesday, fading an early advance to as high as the 98.80 zone, or three-day peaks. The second estimate of Q2 GDP Growth Rate will be in the spotlight, seconded by the usual weekly Initial Jobless Claims, and Pending Home Sales.

EUR/USD managed to leave behind initial heavy losses and ended the day almost unchanged around the 1.1630 zone. The Consumer Confidence in the euro area is due, followed by Consumer Inflation Expectations. In addition, the ECB will publish its Accounts of the latest meeting.

GBP/USD added to Tuesday's bounce, flirting once again with the 1.3500 barrier. The Nationwide Housing Prices will be the next data release on the UK calendar on August 29.

USD/JPY gathered fresh traction and climbed to three-day highs north of the 148.00 barrier amid the US Dollar's lacklustre price action and declining US yields. The weekly Foreign Bond Investment figures will be next on tap in Japan alongside the speech by the BoJ's Nakagawa.

AUD/USD extended its recovery and reclaimed the 0.6500 hurdle and above on Wednesday. The quarterly Private CapEx figures will be released in Oz.

WTI prices regained composure following Tuesday's deep sell-off, surpassing the $64.00 mark per barrel as traders remained vigilant on geopolitics and potential extra tariffs on India, while a bullish report from the EIA also collaborated with the rebound.

The vacillating US Dollar and shrinking yields allowed Gold prices to extend its weekly recovery to the boundaries of the key $3,400 mark per troy ounce. Silver prices deflated to three-day lows although they managed to gather some composure afterwards, revisiting the $38.50 region per ounce.