Platinum Price News: XPT/USD rebounds from two-month low to $1,000, Fed, Ukraine in focus
|- Platinum prices picks up bids to refresh intraday high, snaps two-day downtrend to bounce off eight-week low.
- Sluggish markets, mixed signals over Ukraine-Russia talks and easing covid fears in China favor USD pullback.
- Fed eyed for economic projections and Powell’s speech as 0.25% rate is given.
Palladium (XPT/USD) regains the $1,000 mark while extending the bounce off a two-month low, up 1.60% around $1,002 heading into Wednesday’s European session. In doing so, the precious metal cheers softer US dollar prices, as well as cautious optimism in the market.
The US Dollar Index (DXY) extends the previous day’s weakness below 99.00 by the press time, down 0.15% on a day.
It’s worth noting that the DXY losses could be linked to the US Treasury yields’ retreat ahead of today’s Federal Open Market Committee (FOMC). That said, the US 10-year Treasury yields struggle to extend the previous seven-day uptrend around the highest levels since June 2019, making rounds to 2.165% at the latest.
On the other hand, US stock futures join Asia-Pacific equities to portray the market’s optimism as fears of another COVID-19 wave from China ebb due to the recently easing virus infections from the dragon nation. “China reports 1,952 new coronavirus cases on March 15 versus 3,602 a day earlier,” said Reuters.
Elsewhere, China Vice Premier Liu He’s readiness to take measures to boost the economy and mixed updates concerning the Ukraine-Russia talks also contribute to the risk-on mood.
Even so, market players remain cautious ahead of today’s Fed meeting as the 0.25% rate-hike is already given.
Read: Fed liftoff begins tomorrow: How to trade it?
Technical analysis
Unless crossing the 200-DMA level, near $1,010 by the press time, XPT/USD remains vulnerable to test January’s low around $927. It’s worth noting that the $1,000 psychological magnet will offer an intermediate halt during the fall.
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