Forex Today: Risk-off keeps the dollar on the winning side

What you need to take care of on Friday, July 15:

Fears of recession maintained the dollar on the bullish path throughout the first half of the day, although cooling expectations of a 100 bps rate hike in the US triggered a corrective slide.

Federal Reserve Governor Christopher Waller noted that markets may have gotten ahead of themselves by pricing a 100 basis points rate hike in July, adding that a 75 bps hike will bring them to be neutral. CME FedWatch is now showing a 52% chance of a 75 bps rate hike in July.

Global indexes plummeted at the beginning of the day, although Waller's words helped Wall Street to trim most of its intraday losses. As a result, high-yielding currencies recovered some of the ground lost against the greenback.

The EUR/USD pair plunged to 0.9951 but finished the day at around 1.0020. Turmoil in Europe added to the shared currency's weakness. Gazprom, the Russian energy giant, said that it would not guarantee to resume the functioning of the Nord Stream 1 pipeline after it was shut down for repairs. German Economy Minister Robert Habeck said that the uncertainty around gas deliveries "is clouding the economic outlook considerably heading into the second half of the year." Also, Italian Prime Minister Mario Draghi announced he is resigning.

The GBP/USD pair fell to 1.1759, its lowest since March 2020, and now trades around 1.1820. Political noise in the United Kingdom, after Prime Minister, announced his resignation and Tories began an election process, weighed on the pound.

The USD/CAD pair soared to 1.3223, weighed by equities and falling oil prices but retreated towards the 1.3100 price zone. The barrel of WTI traded as low as $90.53 a barrel, now hovering around $96.30.

The AUD/USD pair edged modestly lower and trades at 0.6750, despite upbeat Australian employment figures.

Gold reached a fresh 2022 low of $1,697.56 a troy ounce, now hovering around $1,710.

Ripple's XRP price is a dangerous bull-trap until this level is touched