Forex Today: No love for US Dollar ahead of key data releases


Here is what you need to know on Friday, April 14:

The persistent US Dollar weakness continues early Friday with the US Dollar Index (DXY) staying at one-year lows below 101.00. Import and Export Price Index, March Retail Sales alongside Industrial Production data will be featured in the US economic docket later in the day. Ahead of the weekend, the University of Michigan will release the preliminary Consumer Sentiment Index for April.

US Retail Sales Preview: Dollar set to jump above low barrier of expectations, three scenarios.

Following Wednesday's soft inflation figures, the data from the US showed on Thursday that the Producer Price Index fell sharply in March, forcing the US Dollar (USD) to come under renewed selling pressure. Additionally, the US Department of Labor reported that the weekly Initial Jobless Claims rose to 239K in the week ending April 8, from 228K in the previous week. As Wall Street's main indexes gathered bullish momentum and registered strong daily gains, the DXY extended its slide late Thursday. In the European morning, however, US stock index futures trade in negative territory, pointing to a cautious market stance. 

EUR/USD extended its daily rally above 1.1000 on Thursday and touched its strongest level since March 2022 above 1.1070 early Friday. There won't be any high-impact data releases from the Eurozone and the USD's valuation is likely to continue to drive the pair's action heading into the weekend.

GBP/USD closed the third straight day in positive territory on Thursday and managed to hold its ground during the Asian trading hours on Friday. As of writing, the pair was trading a few pips above Thursday's closing level of 1.2520. 

Gold price registered impressive gains on Thursday and came within a touching distance of $2,050, the highest level since it set an all-time high in March 2022 at $2,070. XAU/USD seems to have gone into a consolidation phase at around $2,040 early Friday.

USD/JPY declined on Thursday amid the broad-based selling pressure surrounding the US Dollar. With the benchmark 10-year US Treasury bond yield holding steady above 3.4%, however, USD/JPY stays relatively quiet at around 132.50 on Friday.

Bitcoin cleared $30,000 hurdle and continued to push higher toward $31,000 early Friday. Ethereum gained more than 5% and rose above $2,000 for the first time since June. ETH/USD preserves its bullish momentum and was last seen rising another 5% on the day at $2,120.

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