China could announce targeted RRR cut as early as Friday - ANZ

Omkar Godbole FXStreet Contributor

ANZ analysts think China could announce targeted reserve requirement ratio (RRR) cut as early as Friday, Eunice Yoon, Beijing bureau chief, senior correspondent at CNBC, tweeted a few minutes before press time.

China's central bank assured markets earlier this week that it will adopt "dynamic adjustment" of targeted RRR cut policies in the near future for better use of inclusive financing to shore up the virus-hit economy, a PBOC official said on Monday, according to Xinhua.

The world's second-largest economy is also expected to roll out CNY 500 billion ($71.4 billion) as loans for small and marginal enterprises (SMEs), according to state TV reports. Further, value-added tax (VAT) for 80 million home businesses employing 200 million people could be cut from 3% to 1%.

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.