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 nears key level amid speculation of Fed rate cut
A moderate decline in the US dollar, coupled with a decrease in US bond yields, has pushed the EUR/USD pair closer to the significant 1.0800 level. This movement is underpinned by market speculation of a potential Federal Reserve interest rate cut later this year, with a 40% chance in May and nearly 50% in June according to the CME Group’s FedWatch Tool. The speculation gains ground following higher-than-expected US inflation data, despite strong fundamentals and a tight labor market. On the European side, ECB President Christine Lagarde points to strong wage pressures and a commitment to achieving a 2% inflation target, amidst the European Commission’s downward revision of eurozone GDP growth for 2024 and expectations of decelerating inflation.
On Thursday, the EUR/USD moved higher and was able to reach near the upper band of the Bollinger Bands. Currently, the price is moving between the upper and middle band, suggesting a potential slightly upward movement to reach above the upper band. Notably, the Relative Strength Index (RSI) maintains its position at 55, signaling a neutral outlook for this currency pair.
Resistance: 1.0796, 1.0850
Support: 1.0713, 1.0662
XAU/USD struggle to hold the $2,000 mark amid mixed US economic indicators
Gold prices saw an increase on Thursday, reaching a peak of $2,008.30, driven by a weakening US Dollar and mixed economic data from the United States. Despite an initial surge, XAU/USD lost momentum throughout the trading session, struggling to maintain its position above the $2,000 threshold. The decline in retail sales by 0.8% for January, significantly below the expected 0.1%, and a slight improvement in initial jobless claims did not suffice to sustain early gains. However, improvements in manufacturing indices from New York and Philadelphia offered some positive economic signals. These developments led to fluctuating government bond yields and a partial recovery in the US Dollar, affecting gold prices amidst a complex economic backdrop.
On Thursday, XAU/USD moved higher and was able to reach above the middle band of the Bollinger Bands. Currently, the price is moving slightly above the middle band, suggesting a potential upward movement to reach the upper band. The Relative Strength Index (RSI) stands at 47, signaling a neutral outlook for this pair.
Resistance: $2,013, $2,023
Support: $1,998, $1,988
Make informed decisions with the most up-to-date and reliable financial data, exclusively provided by vtmarkets.com.
