Aussie the only notable mover as we get into European morning trade

<p>AUD/USD is up 0.3% on the day to 0.6375 but is off its earlier highs near 0.6400. The aussie is the only notable mover so far, climbing after the stronger Australian CPI data <a href="https://www.forexlive.com/news/australian-q3-2023-headline-cpi-12-qq-vs-11-expected-20231025/" target="_blank" rel="follow">here</a>. That is seeing traders price in higher odds of a RBA rate hike next month, with it sitting at ~58% now. That being said, AUD/USD is still caught in a downwards channel at the moment so the overall picture has not changed:</p><p>Buyers will need to break above 0.6400 and more preferably the 0.6500 mark to really put on a squeeze on sellers – one that could be rather painful considering the persistent negative sentiment in the pair for quite some time now.</p><p>Outside of the aussie, the dollar is steady and major currencies are not showing much appetite so far on the day. EUR/USD is flattish around 1.0596 and trapped in a 16 pips range with USD/JPY likewise at 149.83 and trapped in a 12 pips range. That sort of tells the story that traders are looking rather weary ahead of European trading.</p><p>In other markets, equities are a little more sluggish with S&amp;P 500 futures down 0.3% but 10-year Treasury yields are also down 1.3 bps to 4.827% so there is a bit of a mixed mood. That will keep broader sentiment in a bit of a bind in the session ahead.</p><p>As for the key risk events today, be mindful of the 5-year Treasury auction coming up later before getting to remarks by Fed chair Powell at the very end of the day.</p>

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