Forex Today: Tension mounts ahead of critical events

FXStreet Team FXStreet

What you need to know on Tuesday, April 28th:

The market’s mood was up at the beginning of the week, but only benefited commodity-linked currencies, which were up against the greenback, despite easing oil and gold prices.
The EUR/USD pair advanced just modestly to close the day little changed around 1.0830, while the Pound recovered the 1.2400 level against its American rival.
The trigger for the better market mood was hope, amid gradual economic re-openings. The coronavirus-related curves continued to flatten in most European countries, although countries are not out of the woods yet.
Overall, investors are in wait-and-see mode ahead of central banks and GDP figures to be out later this week.
UK PM Johnson returned to Downing Street and offered a speech, acknowledging the risk that the lockdown poises to the economy, but also warned about the risks of lifting restrictions two early. Chancellor of the Exchequer Sunak announced a loan program to support small businesses.
Crude oil prices came under selling pressure, with Brent below $20.00 a barrel and WTI losing the 13.00 level amid storage concerns. Drillers keep working throughout the pandemic, but demand is pretty much null in a paused world.
Crypto Today: Bitcoin bulls in a strong position for $8000 reclaim

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FXStreet Team

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EUR/USD trims losses, back to 1.1830

EUR/USD manages to regain some composure, leaving behind part of the earlier losses and reclaim the 1.1830 region on Tuesday. In the meantime, the US Dollar’s upside impulse loses some momentum while investors remain cautious ahead of upcoming US data releases, including the FOMC Minutes.

GBP/USD bounces off lows, retargets 1.3550

After bottoming out just below the 1.3500 yardstick, GBP/USD now gathers some fresh bids and advances to the 1.3530-1.3540 band in the latter part of Tuesday’s session. Cable’s recovery comes as the Greenback surrenders part of its advance, although it keeps the bullish bias well in place for the day.

Gold remains offered below $5,000

Gold stays on the defensive on Tuesday, receding to the sub-$5,000 region per troy ounce on the back of the persistent move higher in the Greenback. The precious metal’s decline is also underpinned by the modest uptick in US Treasury yields across the spectrum.

Crypto Today: Bitcoin, Ethereum, XRP upside looks limited amid deteriorating retail demand

The cryptocurrency market extends weakness with major coins including Bitcoin (BTC), Ethereum (ETH) and Ripple (XRP) trading in sideways price action at the time of writing on Tuesday.

UK jobs market weakens, bolstering rate cut hopes

In the UK, the latest jobs report made for difficult reading. Nonetheless, this represents yet another reminder for the Bank of England that they need to act swiftly given the collapse in inflation expected over the coming months.

Ripple slides to $1.45 as downside risks surge

Ripple edges lower at the time of writing on Tuesday, from the daily open of $1.48, as headwinds persist across the crypto market. A short-term support is emerging at $1.45, but a buildup of bearish positions could further weaken the derivatives market and prolong the correction.