Spreads
Spreads
Spreads
Spreads
Spreads
Make informed decisions with the most up-to-date and reliable financial data, exclusively provided by vtmarkets.com.
EUR/USD Rebounds as US Dollar Correction Pauses Amidst Robust Economic Data
In a notable Thursday surge, the EUR/USD pair made a strong comeback from recent monthly lows, nearing the 1.0600 level, thanks to a brief halt in the US Dollar’s bullish streak driven by positive US economic indicators. While the US economy continued to show signs of strength, including a 2.1% annualized Q2 GDP growth rate and lower-than-expected Initial Jobless Claims, market sentiment weighed on the greenback. The Euro’s performance appeared relatively unaffected by the European Central Bank’s current stance, with market expectations leaning towards no October rate hike. Though comments from ECB members had limited influence, data, such as Germany’s falling annual inflation rate and resilient business and consumer sentiment indicators, helped bolster the Euro’s position, with Friday’s Eurozone inflation figures eagerly awaited.
According to technical analysis, EUR/USD moved higher on Thursday, reaching the middle band of the Bollinger Bands. It is currently trading above the middle band, suggesting the potential for further gains to reach the upper band. The Relative Strength Index (RSI) is at 51, indicating that EUR/USD is attempting to return to a neutral stance.
Resistance: 1.0547, 1.0605
Support: 1.0488, 1.0440
XAU/USD Hits Six-Month Low as US Dollar Gains Amid Positive Economic Data
On Thursday, the price of gold continued its decline, reaching $1,857.66 per troy ounce, its lowest point since early March. The US Dollar strengthened against gold due to improved market sentiment driven by positive macroeconomic data, including the confirmation of a 2.1% Q2 Gross Domestic Product (GDP) and better-than-expected Initial Jobless Claims. Additionally, government bond yields retreated from recent highs, with the 10-year Treasury note at 4.61% and the 2-year bond at 5.08%, down 12 basis points from recent highs following the Federal Reserve’s monetary policy announcement. Investors now await the latest US inflation data, particularly the August Personal Consumption Expenditures (PCE) Price Index, with the core annual reading expected to be 3.9%, slightly below July’s 4.2%.
According to technical analysis, XAU/USD moved lower on Thursday, creating downward pressure on the lower band of the Bollinger Bands. Currently, the price is consolidating above the lower band, suggesting potential consolidation for today. The Relative Strength Index (RSI) is currently at 20, signifying a bearish bias for the XAU/USD pair.
Resistance: $1,872, $1,885
Support: $1,858, $1,846
Make informed decisions with the most up-to-date and reliable financial data, exclusively provided by vtmarkets.com.
