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Session Recap: Majors consolidate on shutdown Day 8

FXstreet.com (Córdoba) - The FX market remains in sideways consolidative mode Tuesday as uncertainty and the lack of progress in US Budget negotiations keep investors sidelined.

EUR/USD has spent the last sessions hovering around 1.3580 unable to set a fresh direction while USD/JPY consolidates just above 97.00. However, the Sterling enjoyed a more active session amid misleading headlines of a BoE LTRO, dropping to a low of 1.6020 before bouncing all the way back toward 1.6090.

Commodity currencies managed to secure mild gains versus the greenback, with AUD/USD printting a 3-week high of 0.9483. Elsewhere stocks failed to track Asian gains and trade broadly in red, while US futures point for a negative open.

Main Headlines in Europe:

Switzerland: Unemployment Rate unchanged at 3.2% in September

Germany: Trade surplus widens to €15.6B in August

European open: Markets maintain poker face to debt ceiling, but look for tells in AUD, NZD, CAD, NOK and SEK.

Switzerland: Annual CPI falls 0.1% in September, as expected

Switzerland: Annual Real Retail Sales rise 2.4% in August

Flash: What’s the sentiment around the EUR/USD today? – Westpac and Commerzbank

Germany: Factory Orders drop in August against forecasts

GBP/USD spikes lower on BoE misleading headlines

European markets lack the Asian session's optimism

US: NFIB Business Optimism index fell to 93.9 in September

Crude oil nearly 104.00 area, gold in chase of a break-out

Crude oil futures trade higher today on both sides of Atlantic after yesterday’s sharp losses, while gold is trading almost unchanged but also in deep search for a substantial break-out.
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Flash: AUD/USD to remain bounded by 0.9300-0.9500 band – OCBC

Emmanuel Ng of OCBC Bank, suggests that the September labor market numbers are due on Thursday and as noted above, we are somewhat constructive on the pair in the near term.
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