Major currencies hold little changed ahead of European trading

<p>The greenback put on a decent showing yesterday, helped by a fall in the euro as well as a technical defence in USD/JPY I would say. But even so, the pressure remains as Treasury yields are struggling as highlighted <a href="https://www.forexlive.com/news/the-bond-market-still-holds-the-cards-as-we-step-into-the-final-month-of-the-year-20231201/" target="_blank" rel="follow">here</a>. But as mentioned in the post as well, traders have priced in a significant chunk of rate cuts already for next year. So, is that consolation enough for the dollar?</p><p>For now, major currencies are little changed with EUR/USD hugging closer to 1.0900 and keeping below both its 100 and 200-hour moving averages. That will at least help the dollar out a little as the near-term bias in the pair is now more bearish. Meanwhile, USD/JPY while seeing a modest bounce to 148.00, is seeing upside capped by its own 200-hour moving average – seen at 148.43 currently.</p><p>It's a brand new month but one that falls right as we get to the weekend. As such, there might not be much appetite to go running just yet. Fed chair Powell's speech late in the day might be the only thing that market players might be interested in, before we switch the focus to central banks and key data releases next week.</p>

This article was written by Justin Low at www.forexlive.com.