Forex Today: Fed speakers and key data come to the fore

Pablo Piovano FXStreet

The Greenback gave away part of its recent advance despite the rebound in US yields in response to an improvement in the broad risk appetite trends and somewhat easing political jitters in Europe.

Here is what you need to know on Tuesday, June 18:

The USD Index (DXY) left behind two strong daily advances in a row amidst investors’ speculation of two interest rate cuts by the Fed in 2024. A busy calendar on June 18 will see Retail Sales, Industrial Production, Business Inventories and TIC Flows. In addition, Fed’s Cook, Barkin, Collins, Kugler, Logan, Musalem and Goolsbee are all due to speak.

EUR/USD showed some signs of life after Friday’s multi-week lows well south of the 1.0700 support. The final Inflation Rate in the euro zone, and the Economic Sentiment in both Germany and the Euroland are expected on June 18.

GBP/USD regained composure, set aside two straight sessions of losses and reclaimed the area beyond 1.2700 the figure. Next on tap in the UK calendar will be the release of the Inflation Rate on June 19.

USD/JPY maintained the bullish trade well in place and flirted with the 158.00 barrier once again in quite an auspicious start to the week. The Japanese docket will be empty on June 18.

AUD/USD alternated gains and losses around the 0.6600 neighbourhood ahead of the key interest rate decision by the RBA. On June 18, the RBA will decide on interest rates.

Prices of WTI added to Friday’s advance and challenged the key 200-day SMA above the $79.00 mark per barrel.

The rebound in US yields and some incipient risk-on trade weighed on Gold prices and sparked modest losses on Monday. By the same token, Silver partially faded Friday’s advance and revisited the low-$29.00s.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold clings to gains just above $5,000/oz

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The precious metal’s move higher is also underpinned by the slight pullback in the US Dollar and declining US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.