The US dollar has strengthened against most G10 currencies as the new week begins, with the euro being a notable exception. Although the euro is only slightly higher, it remains confined to a narrow range around $1.07. This firmer dollar, along with rising interest rates, is exerting downward pressure on gold, which is down about 0.5% near $2320 after a 1.25% rally before the weekend. August WTI crude oil is hovering around the $78 mark, trading within its pre-weekend range.

Asia Pacific Markets
Short-term movements in the dollar-yen exchange rate often appear sensitive to shifts in US 10-year interest rates, with the direction of change being more significant than the rate level. Despite last week's sharp decline in US rates, the yen weakened, with the Greenback reached session highs near JPY157.70 in European morning trading.
The Australian dollar, which dipped below $0.6600 before the weekend, rebounded to close above that threshold and is currently trading within its pre-weekend range, ahead of the Reserve Bank of Australia's announcement tomorrow.

European Markets
This week, eurozone economic data releases are sparse, shifting the focus to politics. EU politics are currently dominated by the maneuvering for European Commission posts, with Von der Leyen likely to secure a second term as EC President.
The euro saw some selling pressure, dipping slightly below $1.0670 in early North American trading before the weekend, but stabilized around $1.07 during a quiet afternoon session. Today, it is trading in a narrow 15-tick range around $1.07.
The British pound, which hit its highest level in nearly three months mid-week, was sold off to almost $1.2655 before the weekend—a level not seen since May 17—and remains near its lows today.

American Markets
Tomorrow, the US will report May industrial production, which is expected to have risen by 0.4% following a flat April. Manufacturing output decreased by 0.3% in April after increasing by 1.6% in the previous two months. Recent price movements highlight the significance of the CAD1.3780-CAD1.3800 resistance level for the US dollar. A break above this range could indicate a test of the year's high set in mid-April.