In an interview with National Public Radio (NPR) on Wednesday, Federal Reserve (Fed) Bank of Chicago President Austan Goolsbee noted that some parts of the April inflation report represent the lagged nature of the data, adding that the Fed is still holding its breath.
The Japanese Yen (JPY) was one of the prime beneficiaries of the ‘sell America’ theme that we briefly saw in April, ING's FX analysts Francesco Pesole and Chris Turner note.
The US Dollar Index (DXY), which tracks the performance of the US Dollar (USD) against a basket of six major currencies, is losing ground for the second successive session, trading near 100.50 during the European hours on Wednesday.
The Turkish balance of payments data for March published yesterday are perhaps out of date already, but they brought early warning signs that foreign capital flow could reverse under political or market volatility.
Pound Sterling (GBP) could continue to rebound against US Dollar (USD), but any advance is likely limited to a test of 1.3340. In the longer run, buildup in momentum has faded; GBP is likely to trade in a 1.3140/1.3405 range, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.
European Central Bank (ECB) policymaker and Bundesbank President Joachim Nagel is speaking at a panel discussion at the New Economy forum in Madrid on Wednesday.
The US Dollar (USD) depreciated significantly yesterday following the weaker-than-expected US inflation data. At first glance, this may seem logical. After all, subdued inflationary pressure favours potentially faster interest rate cuts by the Fed. However, the reaction was anything but trivial.
West Texas Intermediate (WTI) US Crude Oil prices remain depressed through the early European session on Wednesday and for now, seem to have snapped a four-day winning streak to mid-$63.00s, or over a two-week high touched the previous day.
Silver price (XAG/USD) halts its four-day winning streak, trading around $32.80 per troy ounce during the European hours on Wednesday. The metal’s safe-haven appeal has weakened amid easing global trade tensions.
Gold (XAU/USD) dips back to $3,235 on Wednesday while the worst of the selling pressure seems to be over due to a softer US Dollar (USD). The softer-than-expected inflation reading for April released on Tuesday, gave markets a push to head into Risk On assets, with the widely-feared inflation shock
European Central Bank (ECB) policymaker and Bundesbank President Joachim Nagel said on Wednesday that June's interest rate decision will depend on incoming data.
The NZD/USD pair holds gains after registering approximately 1.50% gains in the previous session, trading around 0.5940 during the European hours on Wednesday. The technical analysis of the daily chart indicates a neutral stance, as the pair continues to consolidate within a rectangular range.
USD/CAD remains subdued for the second consecutive session, hovering near 1.3930 during early European trading on Wednesday. The US Dollar (USD) lost ground after April’s Consumer Price Index (CPI) figures came in below forecasts, prompting a shift in market sentiment.
Platinum Group Metals (PGMs) trade mixed at the beginning of Wednesday, according to FXStreet data. Palladium (XPD) changes hands at $953.80 a troy ounce, with the XPD/USD pair easing from its previous close at $957.25.
West Texas Intermediate (WTI) Oil price falls on Wednesday, early in the European session. WTI trades at $62.94 per barrel, down from Tuesday’s close at $63.23.
The EUR/JPY cross attracts some sellers to around 164.40 during the early European session on Wednesday. The Japanese Yen (JPY) strengthens against the Euro (EUR) amid the prospects for further policy normalization by the Bank of Japan (BoJ).
The AUD/JPY cross attracts some sellers during the Asian session on Wednesday, and for now, it seems to have snapped a two-day winning streak to the 95.65 area, or a nearly two-month high touched the previous day.
The USD/CHF pair continues to lose ground for the second consecutive day, trading near 0.8390 during Wednesday’s Asian session. Downside risks appear limited, as growing expectations of further monetary easing by the Swiss National Bank (SNB) weaken the Swiss Franc (CHF).
Citing industry sources familiar with the matter, Reuters reported on Wednesday that China has granted its first rare earth export permits since adding restrictions last month.
The EUR/USD pair gains ground to around 1.1195 during the Asian trading hours on Wednesday. The US Dollar (USD) weakens against the Euro (EUR) after the cooler-than-expected US April inflation data.
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