The United States (US) Federal Reserve (Fed) will announce its interest rate decision and publish the Monetary Policy Statement following the October policy meeting on Wednesday. 

The Canadian Dollar (CAD) strengthens against the US Dollar (USD) on Wednesday, with USD/CAD falling to around 1.3893, its weakest level since September 25.

GBP/USD drops more than 0.35% on Wednesday, below the 1.3250 mark as Bank of England rate cut expectations for the November meeting, rose while traders wait for the Federal Reserve monetary policy decision.

Bank of Canada Governor Tiff Macklem addressed reporters’ questions, offering insights into the central bank’s policy stance. His comments followed a widely expected 25-basis-point rate cut to 2.25%.

By all accounts, industrial demand has not been the driver of the strength in industrial metal prices — supply-demand balances won't help you explain the cross-section of base metal returns this year, TDS' Senior Commodity Strategist Daniel Ghali notes.

The decline in Silver prices is sharply linked to that seen in Gold, raising questions as to whether this is truly associated with our Silverflood thesis or whether it is simply a function of a consolidation in precious, TDS' Senior Commodity Strategist Daniel Ghali notes.

Central bank buying activity has shrunk significantly. After all, the rise in Gold prices — not volumes —has done the heavy lifting in raising the percentage of reserves held in Gold, TDS' Senior Commodity Strategist Daniel Ghali notes.

United States EIA Crude Oil Stocks Change dipped from previous -0.961M to -6.858M in October 24

AUD/USD trades around 0.6600 on Wednesday, up 0.30% on the day at the time of writing, after hitting a daily high at 0.6617 earlier in the day, but the Aussie remains capped below 0.6630, a ceiling that has contained the pair since mid-September.

The Japanese Yen (JPY) is entering Wednesday’s NA session with a marginal 0.1% decline against the US Dollar (USD) as it underperforms most of the G10 currencies along with its haven peer Swiss Franc (CHF), Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.

The Pound Sterling (GBP) is weak, down 0.4% against the US Dollar (USD) and underperforming all of the G10 currencies with a break of its mid-October low and a push to levels last (briefly) seen in early August, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.

Gold (XAU/USD) stages a modest recovery on Wednesday, reclaiming the $4,000 psychological mark after briefly slipping to a three-week low near $3,886 on Tuesday. The rebound comes as traders cautiously reposition ahead of the Federal Reserve’s (Fed) interest rate decision at 18:00 GMT.

The Euro (EUR) is entering Wednesday’s NA session roughly flat against the US Dollar (USD) as it recovers from minor overnight losses and finds renewed support on the back of broader trade-related sentiment, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.

The US Dollar (USD) is running into today’s Fed decision slightly firmer but off its best levels as the DXY remains capped around the 99 level, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.

The British Pound (GBP) extends its decline against the Japanese Yen (JPY) on Wednesday, with the cross falling to around 200.68 — its lowest level in two weeks — as Sterling remains under broad pressure amid fiscal concerns and growing expectations of interest rate cuts in the United Kingdom (UK).

United States Pending Home Sales (YoY) dipped from previous 3.8% to -0.9% in September

United States Pending Home Sales (MoM) below expectations (1.7%) in September: Actual (0%)

Canada BoC Interest Rate Decision in line with expectations (2.25%)

The Euro (EUR) edges higher against the Swiss Franc (CHF) on Wednesday, with EUR/CHF advancing to a two-week high as the Franc weakens against most major peers amid improved risk appetite and fading safe-haven demand.

EUR/USD is trading with minor losses on Wednesday, changing hands at 1.1635 at the time of writing, yet with bearish attempts limited above 1.1618.

The US Dollar is trading firm against a weak Swiss Franc on Wednesday.

The Greenback is trimming some losses against the Japanese Yen on Wednesday, yet with upside attempts limited below the 152.50 level so far.

The Pound Sterling (GBP) posts a fresh almost three-month low at around 1.3200 against the US Dollar (USD) during the European trading session on Wednesday.

The USD/CAD pair ticks down to near 1.3940 during the European trading session on Wednesday. The Loonie pair trades with caution ahead of the monetary policy announcements by the Bank of Canada (BoC) and the Federal Reserve (Fed) at 13:45 GMT and 18:00 GMT, respectively.

Silver (XAG/USD) advances on Wednesday, rising 2.50% for the day to trade around $48.25 per ounce at the time of writing.

US Dollar (USD) could test 7.0860; a continued decline below this level is unlikely. The next support at 7.0700 is also unlikely to come under threat.

Strong momentum suggests US Dollar (USD) could drop further to 151.30; it remains to be seen if 151.00 will come into view. In the longer run, USD could weaken, but any decline is likely part of a lower range of 151.00/152.70, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Italy Producer Price Index (MoM) up to 0.2% in September from previous -0.6%

Italy Producer Price Index (YoY) increased to 1.1% in September from previous 0.2%

There is a chance for New Zealand Dollar (NZD) to test 0.5800; a clear break above this level appears unlikely.