There was no timeout for the US Dollar’s rally on Wednesday, which extended its gains for the sixth consecutive day and hit new two-month highs despite global yields retreated further.
Here is what you need to know on Thursday, October 17:
The US Dollar Index (DXY) rose further to multi-week tops above 103.50 on the back of further weakness in the risk complex. Retail Sales will be at the centre of the debate along with the Philly Fed Manufacturing Index, usual weekly Initial Jobless Claims, Industrial and Manufacturing Production, Business Inventories, the NAHB Housing Market Index, and the weekly report by the EIA.
EUR/USD extended further its multi-day leg lower and broke below the 1.0900 support with marked conviction. The ECB will decide on rates seconded by the usual press conference by President Christine Lagarde. Additional data will include Balance of Trade results and the final Inflation Rate, along with the speech by the ECB’s McCaul.
GBP/USD dropped markedly and cleared the key 1.3000 support in the wake of lower UK inflation data. The BoE’s Wood is due to speak.
USD/JPY remained choppy and always below the 150.00 barrier, advancing modestly on Wednesday following Dollar’s gains and dovish remarks from the BoJ’s Adachi. The Balance of Trade results and the Tertiary Industry Index will be published.
AUD/USD retreated to multi-week lows after breaching the key 0.6700 support, shifting its focus to the key 200-day SMA. All the attention shifts to the release of the Australian labour market report.
Shrinking geopolitical effervescence and omnipresent demand concerns from China weighed further on WTI prices, motivating them to break below the $70.00 mark once again on Wednesday.
Lower yields and prospects of further easing by central banks lent extra wings to Gold prices, pushing them to the area of all-time highs around $2,685 per ounce troy. Silver prices added to Tuesday’s advance and climbed to six-day tops past the $32.00 mark per ounce.
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD: Next on tap comes the 200-day SMA
There was no respite for the selling pressure in AUD/USD, with the pair this time breaking below the key 0.6700 support level and opening the door to a potential visit to the key 200-day SMA at 0.6626.
EUR/USD: The ECB could accelerate the decline
EUR/USD retreated for the sixth consecutive day on Wednesday, breaching the critical 200-day SMA and hitting new two-month lows around 1.0860 ahead of the key interest rate decision by the ECB on Thursday.
Gold fresh record highs at sight
Gold price scales higher for the second straight day on Wednesday – also marking the fourth day of a positive move in the previous five – and climbs toward the all-time-high it set at $2,685 in late September.
Solana Price Forecast: SOL gears up to test $172 resistance
Solana (SOL) gains on Wednesday, trades above $154 at the time of writing. SOL token has traded within a range between the March 18 peak of $210.18 and the August 5 low of $110 for six consecutive months.
British inflation dips to 1.7% in September
And speaking of inflation and Europe, inflation in Britain not only fell below 2% in September but came in significantly lower than expected (1.7%y-o-y vs 1.9% expected).
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.