|

Forex Today: US inflation data gathers all the looks

The Greenback rose further and reached new multi-week highs supported by higher yields and rising speculation of a 25 bps rate cut by the Fed in November, all ahead of the publication of the key US CPI on Thursday.

Here is what you need to know on Thursday, October 10:

The US Dollar Index (DXY) advanced markedly and came just short of the key barrier at 103.00. The release of the US Inflation Rate takes centre stage seconded by the usual Initial Jobless Claims. In addition, the Fed’s Daly and Cook are due to speak.

EUR/USD’s decline picked up extra pace and sent the pair to fresh multi-week lows near 1.0930. Retail Sales in Germany will be the salient event on the old continent seconded by the ECB Accounts.

GBP/USD seems to have met some decent contention in the mid-1.3000s against the backdrop of a stronger US Dollar. The RICS House Price Balance will be released.

USD/JPY maintained the weekly bullish stance and reclaimed the 149.00 barrier and beyond amidst gains in the Greenback and higher US yields. Bank Lending figures are next on tap, followed by weekly Foreign Bond Investment and Producer Prices.

AUD/USD clinched its fifth consecutive daily pullback and challenged the key support at 0.6700 the figure. Inflation Expectations are due along with the final Building Permits and Private House Approvals.

Prices of WTI added to Tuesday’s decline and briefly tested multi-day lows near $71.60 per barrel amidst geopolitical tension, Chinese demand concerns and the weekly build of US crude oil inventories.

Gold prices retreated further and put the key $2,600 mark per ounce troy to the test amidst a firm US Dollar, rising yields and increasing bets of a Fed’s 25 bps rate cut in November. Silver prices dropped for the third straight day, although they managed well to keep business above the $30.00 mark per ounce.

Author

Pablo Piovano

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

More from Pablo Piovano
Share:

Editor's Picks

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.