Created
: 2025.10.31
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
Forex Today: US Dollar clings to weekly gains as central bank dust settles
World FX news
Breaking news
Forex Today: US Dollar clings to weekly gains as central bank dust settles
New
2025.10.31 16:43
2025.10.31 16:43
2025.10.31 16:43
Here is what you need to know on Friday, October 31:
The US Dollar (USD) stays resilient against its rivals early Friday, following a two-day rally that saw the USD Index climb to its highest level since early August. The European economic calendar will feature the preliminary October inflation data and several Federal Reserve (Fed) policymakers will be delivering speeches in the second half of the day.
US Dollar Price This week
The table below shows the percentage change of US Dollar (USD) against listed major currencies this week. US Dollar was the strongest against the British Pound.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.65% | 1.38% | 0.86% | -0.04% | 0.03% | 1.03% | 0.82% | |
| EUR | -0.65% | 0.75% | 0.30% | -0.68% | -0.54% | 0.38% | 0.17% | |
| GBP | -1.38% | -0.75% | -0.55% | -1.42% | -1.27% | -0.37% | -0.61% | |
| JPY | -0.86% | -0.30% | 0.55% | -1.01% | -0.93% | 0.02% | -0.17% | |
| CAD | 0.04% | 0.68% | 1.42% | 1.01% | 0.01% | 1.07% | 0.82% | |
| AUD | -0.03% | 0.54% | 1.27% | 0.93% | -0.01% | 0.92% | 0.67% | |
| NZD | -1.03% | -0.38% | 0.37% | -0.02% | -1.07% | -0.92% | -0.25% | |
| CHF | -0.82% | -0.17% | 0.61% | 0.17% | -0.82% | -0.67% | 0.25% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).
The European Central Bank (ECB) announced on Thursday that it left key rates unchanged following the October policy meeting, as expected. In the policy statement, the ECB reiterated that they not "pre-committing" to a particular rate path. While responding to questions from the press, ECB President Chritsine Lagarde noted that they are in a period of great uncertainty and added that a stronger Euro (EUR) could bring down inflation further than expected. After losing more than 0.4% on Wednesday, EUR/USD extended its slide on Thursday and lost about 0.3% for the day. Early Friday, the pair fluctuates in a tight channel above 1.1550. On a yearly basis, the Harmonized Index of Consumer Prices (HICP) in the Eurozone is forecast to 2.1% in October.
The data from Japan showed early Friday that annual inflation in Tokyo, as measured by the change in the Consumer Price Index (CPI), rose to 2.8% in October from 2.5% in September. After gaining about 1% and climbing to its highest level since early February near 154.50 on Thursday, USD/JPY seems to have entered a consolidation phase. At the time of press, the pair was virtually unchanged on the day at 154.20. In response to excessive Japanese Yen weakness, Japan's Finance Minister Satsuki Katayama intervened verbally on Friday, noting that it was "important for currencies to move in a stable manner, reflecting fundamentals." Once again, he repeated that the government was "closely watching FX moves with a high sense of urgency."
With the CME Group FedWatch Tool's probability for a 25 basis points (bps) Fed rate cut in December dropping below 70% from around 90% ahead of the Fed meeting earlier in the week, the USD continued to outperform its rivals. Early Friday, the USD Index holds steady above 99.50, while US stock index futures trade in positive territory.
Pressured by the broad-based USD strength, GBP/USD closed the third consecutive day in negative territory on Wednesday. The pair stays relatively quiet in the European morning on Friday and trades below 1.3150, losing about 1.3% on a weekly basis.
Gold rose more than 2% on Thursday and snapped a four-day losing streak. XAU/USD moves sideways above $4,000 early Friday but remains on track to end the second consecutive week in negative territory.
Central banks FAQs
Central Banks have a key mandate which is making sure that there is price stability in a country or region. Economies are constantly facing inflation or deflation when prices for certain goods and services are fluctuating. Constant rising prices for the same goods means inflation, constant lowered prices for the same goods means deflation. It is the task of the central bank to keep the demand in line by tweaking its policy rate. For the biggest central banks like the US Federal Reserve (Fed), the European Central Bank (ECB) or the Bank of England (BoE), the mandate is to keep inflation close to 2%.
A central bank has one important tool at its disposal to get inflation higher or lower, and that is by tweaking its benchmark policy rate, commonly known as interest rate. On pre-communicated moments, the central bank will issue a statement with its policy rate and provide additional reasoning on why it is either remaining or changing (cutting or hiking) it. Local banks will adjust their savings and lending rates accordingly, which in turn will make it either harder or easier for people to earn on their savings or for companies to take out loans and make investments in their businesses. When the central bank hikes interest rates substantially, this is called monetary tightening. When it is cutting its benchmark rate, it is called monetary easing.
A central bank is often politically independent. Members of the central bank policy board are passing through a series of panels and hearings before being appointed to a policy board seat. Each member in that board often has a certain conviction on how the central bank should control inflation and the subsequent monetary policy. Members that want a very loose monetary policy, with low rates and cheap lending, to boost the economy substantially while being content to see inflation slightly above 2%, are called 'doves'. Members that rather want to see higher rates to reward savings and want to keep a lit on inflation at all time are called 'hawks' and will not rest until inflation is at or just below 2%.
Normally, there is a chairman or president who leads each meeting, needs to create a consensus between the hawks or doves and has his or her final say when it would come down to a vote split to avoid a 50-50 tie on whether the current policy should be adjusted. The chairman will deliver speeches which often can be followed live, where the current monetary stance and outlook is being communicated. A central bank will try to push forward its monetary policy without triggering violent swings in rates, equities, or its currency. All members of the central bank will channel their stance toward the markets in advance of a policy meeting event. A few days before a policy meeting takes place until the new policy has been communicated, members are forbidden to talk publicly. This is called the blackout period.
Last updated
: 2025.10.31
Related articles
GBP undertone remains soft - Scotiabank
31 minutes agoEUR holds in tight range as support in low/mid 1.15s holds - Scotiabank
33 minutes agoCAD remains soft on wider US/Canada spreads - Scotiabank
36 minutes agoUSD remains firm but can't extend gains - Scotiabank
39 minutes agoEUR/CHF holds near two-week highs as Swiss Franc weakens on fading safe-haven demand
2025.10.31 22:09Fed's Logan: Would find it difficult to cut rates again in December
2025.10.31 22:08
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
GBP undertone remains soft - Scotiabank
Pound Sterling (GBP) is also little changed on the day but the market retains a soft undertone, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
New
2025.10.31 22:44EUR holds in tight range as support in low/mid 1.15s holds - Scotiabank
EUR/USD is little changed on the session. The main Eurozone data reports earlier were in line with forecasts, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
New
2025.10.31 22:41CAD remains soft on wider US/Canada spreads - Scotiabank
The Canadian Dollar (CAD) is little changed in quiet trade. Weak Asian stocks and soft European markets reflect a somewhat cautious undertone to risk sentiment, despite some gains in US equity futures, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
New
2025.10.31 22:38USD remains firm but can't extend gains - Scotiabank
The US Dollar (USD) is tracking a little higher overall into the end of the week, with a minor gain for the Euro (EUR) leaving it as the only currency in the green on the day, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
New
2025.10.31 22:35EUR/CHF holds near two-week highs as Swiss Franc weakens on fading safe-haven demand
The Euro (EUR) trades on the front foot against the Swiss Franc (CHF) on Friday as fading safe-haven demand keeps the Franc under pressure. At the time of writing, EUR/CHF is trading around 0.9287, holding firm near a two-week high as investors digest the latest Eurozone inflation figures.
New
2025.10.31 22:09Fed's Logan: Would find it difficult to cut rates again in December
Dallas Federal Reserve (Fed) President Lorie Logan said on Friday that she did not see a need to cut rates this week; explaining that the economic outlook did not call for it, per Reuters.
New
2025.10.31 22:08Fed's Schmid: Dissented against rate cut because of continued momentum in economy
In a statement published on Friday, Federal Reserve (Fed) Bank of Kansas City President Jeffrey Schmid explained he voted in favor of keeping the policy rate unchanged because "the labor market is largely in balance, the economy shows continued momentum, and inflation remains too high."
New
2025.10.31 21:45ECB's Villeroy: We must maintain full optionality to act as necessary
European Central Bank (ECB) policymaker Francois Villeroy de Galhau said on Friday that the ECB is in a good position following Thursday's decision but added that this position is not a fixed one.
New
2025.10.31 21:30Dow Jones Futures edge up as AI, Fed jitters ease
Dow Jones Index futures are showing marginal gains during Friday's European morning session, retracing some of Thursday's reversal.
New
2025.10.31 21:16Gold holds steady near $4,000 amid firm US Dollar and rising yields
Gold (XAU/USD) treads water on Friday, struggling to extend Thursday's advance as investors reassess the Federal Reserve's (Fed) monetary policy outlook following this week's interest rate cut.
New
2025.10.31 21:11Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
