Forex Today: Dollar slides, Bitcoin recovers as a busy week kicks off
|Here is what you need to know on Monday, April 26:
Markets are cautiously optimistic and the safe-haven dollar is down ahead of a busy week. US Durable Goods Orders will likely cheer investors while concerns about India's severe covid dampens the mood. Cryptocurrencies bounced after diving over the weekend.
Optimism about the global economic recovery has taken over markets with S&P 500 futures rising and the greenback falling amid the risk-on mood and despite an increase in US 10-year yields. Higher returns on US debt limit gold's gains.
India's COVID-19 cases continue breaking daily records and many worries that deaths are undercounted. Weaker demand from the Asian giant weighed on prospects for global growth last week. The US, the UK and other countries pledged to send support to the country.
EUR/USD has topped 1.21 amid the upbeat mood and falling coronavirus cases in Europe. Italy and France are loosening several restrictions on their citizens. The German IFO Business Climate for April s set to edge higher.
GBP/USD is flirting with the 1.39 level as Prime Minister Boris Johnson is under pressure for dealing with the pandemic and despite the fact that the UK reached over 50% of its population with vaccines. Commodity currencies are moving up, partially due to an increase in copper prices, in expectations of stronger global demand.
Economists expect US Durable Goods Orders for March to show an increase after falling in February. The figures feed into Thursday's growth figures and may shape expectations ahead of Wednesday's Federal Reserve decision. The Fed will likely acknowledge the improvement but dismiss rising inflation as transitory.
Bitcoin is trading above $52,000 after diving to around $47,000 while XRP is back above $1 after slipping below that level. Volatility tends to increase over the weekend.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.