Currency markets subdued ahead of pivotal central bank week

Major currencies stayed within narrow ranges on Monday as markets prepared for several central bank decisions and company earnings, Business Recorder reported. A softer dollar coincided with declines in oil prices and US Treasury yields: Brent crude futures fell more than 1% to around $115 a barrel, while US 10-year and 30-year yields were 4.974% and 5.299%, respectively. The dollar index edged down to 101.64.

The euro gained 0.16% to $1.122 and sterling rose 0.1% to $1.3385, while the Japanese yen was little changed at 156.920 per dollar. The Federal Reserve, European Central Bank and Bank of Japan are expected to keep rates steady, while markets are pricing in possible increases by the Bank of Canada and Reserve Bank of New Zealand. US consumer confidence, PCE inflation and jobless claims data are also due, with policymakers’ guidance in focus.