On the last trading day of Q3 2024, the US dollar is showing a mixed performance. Leading the charge higher among the major currencies is the Australian dollar, often seen as a proxy for China in the G10 group. The Australian dollar reached its highest level since February 2023. Meanwhile, the yen and Swiss franc are under pressure, each down by 0.2% to 0.25%. The euro is firm, having traded above $1.12 for the fifth time since late August, though it has yet to settle above this level.
In US markets, stock index futures are slightly softer. Gold, on the other hand, is down for the second consecutive session, after peaking above $2685 last week, now trading just below $2650. WTI crude oil for November delivery briefly hit $69.35 before sellers pushed it back to around $68.

Asia-Pacific Markets
Before officially taking office, Japan's new LDP leader Ishida has already announced plans for a snap election in late October. Markets had already priced out a potential Bank of Japan (BOJ) rate hike this month, and the election news, coupled with a sharp drop in industrial output and a moderation in Tokyo’s September CPI, seem to cement that outlook.
The dollar also posted a bearish outside down day against the yen ahead of the weekend, extending its losses to JPY141.65 today.
In China, the government's stimulus measures helped propel the Australian dollar above $0.6900 for the first time since March 2023, with today's high reaching $0.6940.

European Markets
Investor sentiment in Europe is shifting, with increasing expectations that the European Central Bank (ECB) could cut rates at its upcoming meeting on October 17. Just a week ago, the probability of a rate cut was priced at 40% in the swaps market, but it has now surged to 80%.
Despite the euro trading above $1.12 on several occasions since late August, it has struggled to close above this level. Today marks the fifth attempt, with the euro reaching nearly $1.1210 in early European trading.
Sterling, too, briefly set a new high near $1.3435 ahead of the weekend, though it settled closer to $1.3375 before recovering to nearly $1.3425 today.

American Markets
US markets Shifting focus from inflation to the labor market, US market participants are now gearing up for Friday’s nonfarm payroll report. The Federal Reserve has emphasized the importance of the full employment mandate, given its increased confidence in achieving price stability. The Fed's median projection for unemployment stands at 4.2%, considered the long-term trend for full employment. However, the Fed anticipates a rise to 4.4% by year-end, with expectations for it to remain at that level next year.
Among the G10 currencies, the Canadian dollar has been the only one unable to make gains against the US dollar this month. It showed some strength earlier last week but quickly retreated.