G10 currencies are little changed to start the session and mostly softer in narrow ranges. On the data front in the US, we have US ISM services, factory orders and durable good orders all out at 10am EST. The US 10-year yield is off about 2.5 bp to 4.19%. Europe's Stoxx 600 is down by 0.3% in late morning dealings. US index futures are also trading with a heavier bias. Meanwhile, gold's surge has continued. It is closing in on the high set last December near $2135.40. It is up $100 an ounce since last Monday.

EUR/USD is relatively flat on the day. Traders seem reluctant and prefer to wait for this week's key central bank event risks before placing aggressive directional bets. This approach leads to the pair's subdued range-bound price action. Jerome Powell's congressional testimony on Wednesday and Thursday will be looked upon for cues about the rate-cut path. This, along with the ECB monetary policy decision on Thursday, will help in determining the near-term trajectory for the currency pair.

GBP/USD is softer to start the session. The pair has come under pressure due to diminishing investors’ risk appetite and uncertainty ahead of the United Kingdom’s Spring budget, to be outlined by Chancellor Jeremy Hunt on Wednesday. The scope of fiscal measures will be a balancing act for Jeremy Hunt as the UK economy faces a stubborn inflation outlook and deteriorating growth forecasts.

USD/CAD is up smalls on the day. The mild bounce for the USD comes from a quiet market mood and an expected hawkish tone from Powell on his interest rate guidance. Meanwhile, the Canadian Dollar will be guided by the interest rate decision from the Bank of Canada which will be announced on Wednesday. The BoC is expected to hold interest rates at 5% for the fifth time in a row. Market participants will focus on the guidance about when they plan to start reducing interest rates.