Overnight Summary

Sterling ran the table overnight while the kiwi sagged, and gold’s 1.2% drop signalled a broad safe-haven unwind that kept the yen pinned near multi-decade lows.

The dollar index held steady at 101, adding just 0.15% — not enough to call it a bid, more a drift. The real story was GBP outperformance across the board: cable climbed to 1.3256, EUR/GBP slid to 0.862, and GBP/CHF posted the session’s biggest move at +0.72%. On the other side, NZD/USD dropped 0.56% to 0.5723, making the kiwi the weakest G10 currency on the night. Gold’s slide to 4173 (-1.21%) pulled the rug from traditional safe havens without translating into yen strength — USD/JPY barely moved, holding at 161.48. Copper slipped 0.59%, keeping AUD/USD capped near 0.7005, while Brent’s 0.93% rally gave NOK a boost with USD/NOK falling 0.55% to 9.687.

Key Pair Breakdown

GBP/CHF (+0.72% to 1.0702) — The session’s top mover. Sterling strength met franc softness as gold’s selloff drained safe-haven demand from CHF. The pair is pressing toward the 1.07 handle with clean air above if the gold unwind continues into European hours.

EUR/GBP (-0.67% to 0.8620) — The flip side of the GBP bid. Euro couldn’t keep pace as sterling absorbed flows across G10. The pair is back below 0.863 and approaching the lower end of its recent range. A push through 0.860 would open a more material leg lower.

NZD/USD (-0.56% to 0.5723) — Kiwi took the session’s biggest hit among dollar pairs. Copper’s 0.59% decline weighed on the commodity bloc, and NZD bore the brunt over AUD, which was comparatively flat. The 0.570 level is the next support traders will be watching.

USD/NOK (-0.55% to 9.687) — NOK was the G10 standout on the commodity-linked side. Brent’s near-1% rally gave the krone a tailwind, and the pair slid through 9.70. This move runs counter to the DXY’s mild bid, underlining that oil was the dominant driver here.

GBP/JPY (+0.49% to 213.97) — A carry-favourite extending higher. Sterling strength combined with yen passivity pushed the cross back toward 214. With USD/JPY pinned at 161.48 and no fresh intervention rhetoric in the data, the path of least resistance stays higher, but the air gets thin up here.

GBP/AUD (+0.48% to 1.8914) — Another GBP cross riding the sterling bid. AUD’s flat session (-0.12% vs USD) meant it simply couldn’t match cable’s pace. The 1.89 level is fresh territory for this pair in recent sessions.

NZD/JPY (-0.42% to 92.42) — The weakest G10 currency crossed with the most passive one. NZD’s commodity-linked drag pulled this cross below 92.50. If kiwi selling persists into the Asian session, 92.00 is the round-number magnet.

GBP/USD (+0.41% to 1.3256) — Cable cleared 1.325 with the DXY only marginally firmer, underscoring that this was a GBP story, not a dollar weakness story. The pair has momentum, but 1.330 is the next test and likely where sellers emerge.

Asian Session Setup

Sydney opens with AUD/USD dead flat at 0.7005 — copper’s softness is a mild headwind, but the pair barely moved overnight, so there’s no momentum to trade either way. The focus shifts to NZD: if the kiwi’s slide extends, AUD/NZD could catch a bid as relative-value flows favour the Aussie over its trans-Tasman peer.

Tokyo gets USD/JPY sitting at 161.48, still deep in the intervention-watch zone. Gold’s selloff removed one potential yen-supportive flow, and the DXY’s mild firmness keeps the bias toward higher USD/JPY. GBP/JPY at 214 is extended — any Tokyo-session yen bid would hit the sterling crosses first.

NOK and the Scandis are out of scope for the Asian session, but the Brent-NOK correlation is worth monitoring if oil gives back its overnight gains during Asian energy trading.

Bottom Line

The overnight tone was risk-tilted — gold sold, sterling rallied, and the defensive currencies (CHF, JPY) went nowhere or gave ground. The pair to watch into Asia is NZD/USD at 0.5723: it has the cleanest downside momentum in G10, and a break below 0.570 would set the tone for the commodity bloc heading into the European handoff.

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