Given this situation, it is hardly conceivable that Kazakhstan will limit oil production as planned, let alone compensate for the current overproduction with larger production cuts, Commerzbank's commodity analyst Carsten Fritsch notes.
Japanese Yen (JPY) is weak, down 0.7% against the US Dollar (USD) and underperforming most of the G10 currencies in an environment of broad-based USD strength, Scotiabank's Chief FX Strategist Shaun Osborne notes.
According to a Reuters report, the eight OPEC+ countries with voluntary production cuts could also increase oil production more significantly in June, Commerzbank's commodity analyst Carsten Fritsch notes.
Pound Sterling (GBP) is down a modest 0.3% and showing relative gains against nearly all the G10 currencies, once again trading in tandem with its peers on trade-related headlines while still lagging in terms of magnitude, Scotiabank's Chief FX Strategist Shaun Osborne notes.
In the middle of next week, the World Gold Council (WGC) will publish its report on gold demand in the first quarter. This is likely to show that the sharp rise in the gold price in the first three months of the year was driven by strong investment demand.
The Canadian Dollar (CAD) is marginally softer on the session but holding up better than its major currency peers to the USD’s broader rebound, Scotiabank's Chief FX Strategist Shaun Osborne notes.
The price of Brent oil rose to more than $68 per barrel this week, reaching its highest level since the announcement of reciprocal tariffs by US President Trump at the beginning of April, Commerzbank's commodity analyst Carsten Fritsch notes.
The US Dollar Index (DXY), which tracks the performance of the US Dollar (USD) against six major currencies, trades on the front foot, up around 0.40% on Friday at the time of writing.
Markets are ending the week on a steadier note. The USD is a little stronger, US equity futures slipping back after yesterday’s pop higher and US Treasurys are a little firmer.
Next week, China will release its official PMIs, which, unlike in other countries, are always released on the last day of the month rather than the first day of the following month.
The AUD/USD pair falls sharply to near 0.6380 in Friday’s North American session. The Aussie pair weakens as the US Dollar (USD) resumes its upside recovery after a corrective move on Thursday.
The inflation rate for the Tokyo area rose to 3.5% in April, once again exceeding the expectations of analysts surveyed by Bloomberg. Rice prices rose sharply again in April, Commerzbank's FX analyst Volkmar Baur notes.
Brent crude has bounced from the lower limit of its downtrend but faces key resistance at $68.70–$70.50. A failure to break higher could trigger a pullback, with $65.30 and $62.30 as key support levels, Société Générale's FX analysts note.
Russia’s central bank (CBR) will announce its rate decision today: analysts unanimously expect an unchanged key rate of 21.0%, which has been pre-signalled by policymakers.
As US-China tariff tensions escalate, early data suggest US importers are shouldering most of the burden, with little price relief from Chinese exporters. Despite sharp tariff hikes, consumer prices remain largely unaffected — for now.
Relative calm continues to be observed this week amid Trump’s de-escalation. Trump continued to speak about how his administration was talking to China about trade even as Beijing denied the existence of negotiations.
On the subject of trade talks, US Treasury Secretary Scott Bessent's discussions with Japan and South Korea seem to be going well, ING's FX analyst Chris Turner notes.
EUR/USD trades lower around 1.1350 during North American trading hours on Friday. The major currency pair weakens due to a recovery move in the US Dollar (USD) on hopes of an improvement in trade relations between the United States (US) and China.
Euro (EUR) continued to ease lower after hitting a more than 3Y high of 1.1570s. EUR was last at 1.1350 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.
The dollar is continuing its positive correlation with US equity markets and is edging higher. Investors seem to be taking positively the newsflow that US-China tariffs could be negotiated substantially lower.
The USD/CAD pair retains its positive bias through the first half of the European session on Friday and currently trades near the top end of the weekly range.
Silver price (XAG/USD) inches lower following two days of gains, trading around $33.40 per troy ounce during the European hours on Friday. The metal’s safe-haven appeal weakens as reports emerge suggesting China may lift tariffs on certain US imports.
The Pound Sterling (GBP) strives to gain ground near the intraday low of 1.3280 against the US Dollar (USD) during European trading hours after the release of the upbeat United Kingdom (UK) Retail Sales data for March.
Commenting on the trade talks with the United States (US), China's Foreign Ministry clarified that “China and the US are not having any consultations or negotiations on tariffs.”
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