Swing Trades: EUR/USD, NZD/USD

Dukascopy Bank Team Dukascopy Bank SA

EUR/USD: US Existing Home Sales

The EUR/USD currency pair continued to appreciate on the better-than-expected data on home sales in the US. The Greenback lost 7 base points against the Euro to keep strengthening further to the 1.1895 area.

The US home sales rose more than anticipated in November to reach the highest level in 11 years, indicating that the property market growth started to regain momentum after procrastination for the most of the year. The National Association of Realtors stated that the country’s exciting home sales increased 5.6% to a seasonally adjusted yearly rate of 5.81M units due to lingering recovery of hurricanes-hurt areas. However, the market activity remained constrained by a shortage of available properties, which kept prices elevated.

NZD/USD: NZ Gross Domestic Product

The Kiwi rose markedly against the US Dollar on the report showing the New Zealand’s economic momentum accelerating in the September quarter. The NZD/USD currency pair strengthened 0.42% or 29 base points to 0.7002, trying to remain above the 0.7000 level.

The New Zealand’s economy marked the better-than-anticipated annual growth pace of 2.7% in the Q3. Meanwhile, the quarterly expansion eased to 0.6% in the same period, following an upwardly revised 1.0% gain in the prior quarter. However, downturns in some sectors indicated to a muted outlook than the country’s new government would prefer. The report provided the reason for the RBNZ to keep interest rates unchanged at a record low as the inflation pulse remained weak.

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Dukascopy Bank Team

Dukascopy Bank SA

Dukascopy Bank stands as an innovative Swiss online banking institution, with its headquarters situated in Geneva, Switzerland.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.