Forex Today: Dollar returns, gold collapses
|Here is what you need to know on Wednesday, August 12:
Stocks rallied after US President Trump said he expects the US economy to grow at a record pace in the upcoming weeks, hinting he could cut taxes on capital gains and for middle-income families. Wall Street lost momentum ahead of the close, trimming intraday gains and closing in the red.
The dollar initially fell with mounting risk-appetite, but recovered it good shape in the US afternoon, recovering the ground lost against its high-yielding rivals and reaching fresh highs against most other major currencies.
Gold plunged, with spot down to $1,909.90 a troy ounce, shedding roughly $120.00 in the day. Crude oil prices followed equities’ behaviour, ending the day in the red amid dollar’s comeback. WTI settled around $41.60 a barrel.
UK employment data was mixed, as the ILO unemployment rate remained steady at 3.9% in the three months to June, better than the 4.2% expected. However, the Claimant Count Change for July disappointed by jumping to 94,400, far worse than the 10K projected.
US Treasury yields reached a one-month high amid optimism
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.