The US Dollar Index (DXY) lost ground during the week, down 0.27% to trade near the 99.80 level as investors prepared for a heavy central bank calendar the following week.

Societe Generale highlights that South Korean authorities have launched a multi-pronged FX stabilisation package to address short-term USD funding stress and speculative pressures on the Korean Won.

United Kingdom CFTC GBP NC Net Positions fell from previous £-52.2K to £-64.2K

Japan CFTC JPY NC Net Positions declined to ¥-145.8K from previous ¥-129.6K

United States CFTC Oil NC Net Positions fell from previous 155.9K to 130.3K

Eurozone CFTC EUR NC Net Positions down to €13.9K from previous €48.9K

Australia CFTC AUD NC Net Positions fell from previous $41.8K to $18.2K

United States CFTC S&P 500 NC Net Positions up to $-205.6K from previous $-220.8K

United States CFTC Gold NC Net Positions dipped from previous $176K to $173.8K

A senior administration official said on Friday that the Iran deal will guarantee long-term peace in the region. The agreement would achieve core US objectives and reopen the Strait of Hormuz. The official said that the US would get enriched nuclear material and include an inspection regime.

Deutsche Bank’s Sanjay Raja says the UK economy is tracking close to the Bank of England’s Scenario A, with stronger‑than‑expected early‑2026 GDP but a cooling labour market and easing price pressures.

Gold (XAU/USD) price consolidates above the $4,200 figure on Friday as market participants are optimistic about a potential US-Iran deal, set to be signed next week, according to newswires. Meanwhile, households in the US are becoming more optimistic about the economy.

Brown Brothers Harriman’s Elias Haddad highlights strong South Korean asset performance, with South Korean Won (KRW) outperforming and the KOSPI up sharply on AI-led semiconductor strength.

USD/CAD trades on the front foot on Friday as lower Oil prices weigh on the commodity-linked Canadian Dollar (CAD) amid cautious optimism that the United States (US) and Iran could reach an agreement that would reopen the Strait of Hormuz.

Scotiabank strategists Shaun Osborne and Eric Theoret report USD/JPY is steady but elevated, with recent gains already surpassing prior intervention-trigger levels. A 25 bps Bank of Japan (BoJ) hike on Tuesday is widely anticipated, and markets price nearly one more increase by December.

EUR/USD fluctuates between modest gains and losses heading into the weekend as traders await Tehran's decision on a possible agreement with the United States (US) to end the war in the Middle East. At the time of writing, the pair trades around 1.1573 and is on track to post modest weekly gains.

Societe Generale notes that Chinese inflation remains subdued, with May Consumer Price Index (CPI) at 1.2% and core at 1.1%, while PPI has risen to a four-year high, suggesting weak consumer demand and margin pressure.

The Dow Jones Industrial Average (DJIA) climbed 0.6% on Friday, settling near 51,200 and outperforming the rest of the US majors on a day when the tech-heavy Nasdaq Composite slipped into the red.

United States Baker Hughes US Oil Rig Count climbed from previous 431 to 433

The USD/JPY pair trades near the 160.20 region on Friday as the Japanese Yen (JPY) remains slightly under pressure, while investors prepare for a key central bank week featuring the Bank of Japan's (BoJ) policy decision and Kevin Warsh’s first Federal Reserve (Fed) meeting as Chair.

Gold (XAU/USD) consolidates on Friday as traders await further developments on a potential US-Iran peace deal. At the time of writing, XAU/USD is trading around $4,200 after climbing to an intraday high of $4,246 earlier in the day.

Silver (XAG/USD) trades around $67.50 on Friday at the time of writing, up 0.21% on the day. The white metal maintains a positive bias despite improving market sentiment driven by diplomatic progress between the United States (US) and Iran.

A Reuters poll released on Friday found that the Bank of England (BoE) is projected to keep the Bank Rate at 3.75% at the June 18 meeting, based on a survey of 65 economists.

The Pound Sterling (GBP) turns negative against the US Dollar (USD) on Friday after UK data showed the economy contracted in April, while rising prospects of an agreement between the US and Iran improved risk appetite.

United States Vice President JD Vance said on Friday that Iran would not receive cash or released funds simply for signing a potential agreement, pushing back against what he described as false information surrounding a possible deal to reopen the Strait of Hormuz and end Iran’s nuclear weapons prog

Scotiabank strategists Shaun Osborne and Eric Theoret note that the British Pound (GBP) is consolidating recent gains around 1.3400, with domestic risk elevated ahead of next week’s CPI, labour data and the Bank of England decision.

EUR/GBP holds firm on Friday, with the Euro (EUR) modestly outperforming the British Pound (GBP) as weak UK Gross Domestic Product (GDP) data reinforced signs of a slowing economy. At the time of writing, the cross trades around 0.8633, up from an intraday low of 0.8625.

ING’s Frantisek Taborsky notes that headlines on a possible end to the US-Iran conflict triggered a risk-on move, helping Central and Eastern European currencies erase recent losses.

Scotiabank strategists Shaun Osborne and Eric Theoret observe that the Canadian Dollar (CAD) is weighed down by weaker Oil prices linked to Iran peace hopes, even as improved risk appetite offers some support.

NZD/USD trades around 0.5830 on Friday at the time of writing, down 0.15% on the day as the US Dollar (USD) maintains a firm tone following a series of strong US economic releases.