GBP/USD sinks like a stone on the FOMC minutes. The hawkish tone in the minutes has lifted the value of the US dollar and yields. GBP/USD is currently trading at 1.4114 following the Federal Open Market Committee’s minutes while down some 0.47% on the day having travelled from a high of 1.4200 to a low of
FX
USD/JPY is still expected to keep the 108.50-109.55 trading range in the next weeks, noted FX Strategists at UOB Group. Key Quotes 24-hour view: “Yesterday, we expected USD to ‘trade sideways between 109.00 and 109.55’. Our expectations were incorrect as USD dropped to 108.82 before rebounding. The rapid drop appears to be running ahead of
EUR/USD looks to close fourth straight trading day in positive territory. US Dollar Index remains depressed below 90.00 on Tuesday. Investors await Consumer Price Index (CPI) data from the euro area. The EUR/USD pair rose to its highest level in more than two months at 1.2234 on Tuesday and went into a consolidation phase during
UK claimant count change arrived at -15.1K in April. The unemployment rate in the UK dropped to 4.8% in April. The UK wages excluding bonuses rose by 4.6% YoY vs. 4.6% expected. The Office for National Statistics (ONS) showed on Tuesday, the UK’s official jobless rate dropped further to 4.8% in March vs. the previous 4.9% and
USD/CAD came under renewed bearish pressure in American session. Rising crude oil prices provide a boost to CAD. US Dollar Index stays relatively quiet above 90.00. After spending the first half of the day moving sideways around 1.2100, the USD/CAD pair lost its traction and touched its lowest level of the day at 1.2073. As
Tesla shares suffer again on Monday as the tech sector struggles. TSLA looks to be on autopilot for $500. TSLA shares have support at $539 as a first target. Tesla shares continue their march lower post the Q1 2021 earnings release. The results were not bad but the manner of the revenue generation is what
Metals on fire at monthly highs, even as yields hold steady. XAG/USD heads for the third highest daily close since September. After a correction, metals resumed the upside and jumped to monthly highs. Silver rose to $28.15, reaching the highest level since February. It is rising 2.60% on Monday. Gold is also sharply higher, above
Pound gains momentum and prints fresh highs versus dollar, turns positive against euro. DXY back into negative territory, it drops to 90.20. The GBP/USD is rising for the second day in a row and recently it printed a fresh high at 1.4125, boosted by a weaker dollar and also by a retreat in EUR/GBP. During
“The US dollar’s role as a global reserve currency is secure,” Federal Reserve’s Vice Chairman Richard Clarida said on Monday, as reported by Reuters. Additional takeaways “Getting demand and supply of workers into balance may take some time.” “Central bank digital currency is under an active study to get a sense of both benefits and costs.” “Upgrades
The Bank of England’s (BoE) monetary policy will focus on returning inflation sustainably to the target over the medium term, BoE policymaker Gertjan Vlieghe said on Monday, as reported by Reuters. Additional takeaways “Growth this year should not be viewed as a boom but as a return to normal.” “Temporary bottlenecks and base effects are likely to
Gold takes the bid after two consecutive weekly run-ups. Risk-on mood favors gold buyers amid downbeat US dollar, Treasury yields. Sluggish US data cools down inflation concerns, helps Fed to defend easy money policies. Geopolitical, covid headlines can offer intermediate moves but nothing major to keep a tab on. Gold bulls keep the reins around
AUD/USD rebounds after dropping to 0.7730 area earlier in the day. US Dollar Index loses traction in the American session. Risk-averse market environment limits AUD/USD’s upside ahead of RBA meeting minutes. The AUD/USD pair dropped to a daily low of 0.7731 during the European trading hours but managed to stage a rebound in the second
GBP/JPY remains bullish, testing recent highs, eyes 155.00. Under 153.90, a deeper correction seems likely, next support at 153.40. The pound remains near the highest level in years versus the Japanese yen, hovering around 154.30. A consolidation above 154.40 would strengthen the pound, suggesting further gains. The next resistance could be seen at 154.80, before
The White House said on Monday that they take inflation very seriously and added that the US Federal Reserve is responsible for monitoring it, as reported by Reuters. “Inflation has not changed the view that more need to be done to reduce unemployment,” the White House added. Market reaction These remarks don’t seem to be
“In the first two months of our administration, we have seen more jobs created than any in history,” US President Joe Biden said on Friday, as reported by Reuters. Additional takeaways “There is still a long way to go.” “New economic strategy deserves the credit for growth.” “By April 7, more than 130 million households
Traders added around 2.2K contracts to their open interest positions in Gold futures markets on Thursday, reversing six consecutive daily pullbacks, according to flash data from CME Group. Volume, instead, went down for the third session in a row, this time by nearly 41K contract. Gold now looks to $1,760 Gold prices staged a strong
Spot gold is back above its 21DMA and within last week’s $1720-$1745ish ranges. The US dollar has been weakening and US bond yields dropping; this is behind gold’s recovery. Spot gold prices (XAU/USD) have broken back to the north of the 21-day moving average, which currently resides at $1720.59, in recent trade to hit session
USD/IDR picks up bids after Indonesia Inflation drops below consensus and prior during March. Covid fears, geopolitical tension also weigh on Indonesian currency. US response to infrastructure spending, ISM Manufacturing PMI will be the key. USD/IDR bulls attack the $15,000 threshold, after an initial pullback from November high, during early Thursday. While the US dollar