GBP/USD consolidates around 1.2700 mark ahead of UK CPI, FOMC decision
The GBP/USD pair struggles to capitalize on a two-day-old recovery move from the vicinity of the 1.2600 mark, or a three-week low touched on Monday and oscillates in a narrow band during the Asian session. Spot prices currently trade around the 1.2700 round figure, nearly unchanged for the day as traders keenly await the outcome of the highly-anticipated FOMC policy meeting before placing fresh directional bets.
The Federal Reserve (Fed) is widely expected to lower borrowing costs by 25 basis points and adopt a more cautious stance on cutting interest rates going forward. Hence, investors will closely scrutinize the so-called dot plot and Fed Chair Jerome Powell's comments at the post-meeting press conference for cues about the future rate-cut path. This, in turn, will influence the near-term US Dollar (USD) price dynamics and provide some meaningful impetus to the GBP/USD pair. Read more...
GBP/USD remains mired near 1.2700 as central bank decisions loom large
GBP/USD stretched into a two-day winning streak on Tuesday, gaining one-fifth of one percent and recapturing the 1.2700 handle, but only just. Cable is paring away last week’s losses to recover into a near-term middle ground as Pound Sterling traders brace for a hefty end-of-year docket that includes rate calls from the Federal Reserve (Fed) and the Bank of England (BoE), as well as one last update on UK Consumer Price Index (CPI) inflation.
US Retail Sales figures lurched higher to 0.7% MoM on Tuesday, stoking some mild concern among investors that maybe the Fed doesn’t need to pursue an aggressive rate-cutting strategy after all, especially when counting a recent uptick in inflation metrics. Despite this, markets are still broadly pricing in a third straight rate cut from the Fed on Wednesday, with 95% odds favoring a 25 bps rate trim according to the CME’s FedWatch Tool. Read more...
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GBP/USD falls below 1.2700 after UK inflation data
GBP/USD remains pressured below 1.2700 in Eurpean trading on Wednesday. The data from the UK showed that the annual CPI inflation rose to 2.6% in November from 2.3%, as expected. Investors gear up for the Fed's monetary policy announcements.
EUR/USD defends gains near 1.0500 ahead of Fed rate call
EUR/USD defends minor bids near 1.0500 in the European session on Wednesday. The pair's further upside remains capped as traders stay cautious and refraining from placing fresh bets ahead of the Federal Reserve poicy announcements.
Gold price extends the range play as traders keenly await Fed rate decision
Gold price remains depressed through the first half of the European session on Wednesday, albeit it lacks follow-through selling and so far, has held above a one-week low touched the previous day.
Altcoins Cardano and Avalanche poised for double-digit correction
Cardano (ADA) and Avalanche (AVAX) prices continue to trade down on Wednesday after correcting more than 7% and 8%, respectively, so far this week. The technical outlook and on-chain metrics for both altcoins suggest the continuation of the pullback.
DJIA ends Tuesday in the red, sheds roughly 270 points
The Dow Jones Industrial Average shed another 360 points at its lowest on Tuesday as losses accumulate in the key index and begin to gather speed. The S&P 500 and the Nasdaq also closed in the red.
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