<p>Headlines:</p><ul><li><a target=“_blank“ href=“https://www.forexlive.com/news/dollar-up-against-the-apex-20220920/“>Dollar up against the apex?</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/news/bonds-stay-under-pressure-with-the-fed-in-focus-20220920/“>Bonds stay under pressure with the Fed in focus</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/news/equities-see-bright-start-fade-as-the-push-and-pull-continues-20220920/“>Equities see bright start fade as the push and pull continues</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/news/germany-august-producer-prices-79-vs-16-mm-expected-20220920/“>Germany August producer prices +7.9% vs +1.6% m/m expected</a></li><li><a target=“_blank“ href=“https://www.forexlive.com/news/eurozone-july-current-account-balance-199-billion-vs-42-billion-prior-20220920/“>Eurozone July current account balance -€19.9 billion vs €4.2 billion prior</a></li></ul><p>Markets:</p><ul><li>GBP leads, NZD lags on the day</li><li>European equities lower; S&P 500 futures down 0.4%</li><li>US 10-year yields up 6.2 bps to 3.549%</li><li>Gold down 0.4% to $1,668.43</li><li>WTI crude up 0.1% to $85.80</li><li>Bitcoin down 1.7% to $19,200</li></ul><p style=““ class=“text-align-justify“>The push and pull ahead of the Fed continues as we see the dollar keep a firmer hand on the day while equities saw a decent start vanquished and bond yields continued to push higher in the run up to the central bank bonanza this week.</p><p style=““ class=“text-align-justify“>In terms of data, German producer prices saw a record monthly and yearly increase in August as surging cost pressures continue to build in Europe’s largest economy. That won’t provide much comfort with July’s current account coming in at a major deficit – the widest since the global financial crisis more than a decade ago.</p><p style=““ class=“text-align-justify“>But trading sentiment continues to revolve around the countdown to the FOMC meeting tomorrow with the greenback firming slightly as EUR/USD nudged lower from 1.0030 to 0.9995, though keeping close to parity with a host of large option expiries at the figure level in the coming days.</p><p style=““ class=“text-align-justify“>USD/JPY maintained a slight advance around 143.50-70 levels as bond yields continue to push higher across the board. Meanwhile, the pound is somewhat steady, trading little changed around 1.1430 on the day.</p><p style=““ class=“text-align-justify“>As equities retreated after a bright start, commodity currencies are also dragged lower with USD/CAD inching up towards 1.3300 and AUD/USD running into support near 0.6700 once again. The kiwi is bearing the brunt of the declines with NZD/USD sliding by nearly 1% on the day now close to 0.5900.</p><p style=““ class=“text-align-justify“>Putting it all together, it looks like markets are still unable to find a clear path as we await the Fed decision tomorrow to really provide traders and investors with much more conviction for the second-half of the week.</p>

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