Forex Today: Another Black Monday

FXStreet Team FXStreet

Here is what you need to know on Tuesday, March 17th:

It was another Black Monday for Wall Street, with the DJIA down roughly 13%. The Nasdaq shed 12.32% and the S&P 11.98%. The slump came despite the US Federal Reserve announced late Sunday a 100 bps rate cut to 0.0% and massive stimulus of up to $700B. Other central banks also announced monetary easing but could not convince investors.
US Treasury yields trimmed most of their Friday’s gains amid dominant risk-off. The yield on the benchmark 10-year note settled at 0.73%.
The EUR/USD pair closed around 1.1170, retaining part of its gains despite risk-aversion. The dollar suffered from an awful NY Empire State Manufacturing Index.
The GBP/USD pair flirted with 1.2200 and settled not far above it, as the UK is in no rush to combat coronavirus.
Commodity-linked currencies plummeted, as crude oil prices resumed their declines while spot gold pierced temporary the 1,500 threshold.
The coronavirus outbreak remains out of control in Europe. Worldwide, countries announced lockdown and quarantine measures to try slowing the spread and prevent health-care systems from collapsing. Economic downturn already here.
Cryptocurrencies edged lower.

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FXStreet Team

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Gold treads water around $5,000

Gold is trading in an inconclusive fashion around the key $5,000 mark on Monday week. Support is coming from fresh signs of further buying from the PBoC, while expectations that the Fed could turn more dovish, alongside concerns over its independence, keep the demand for the precious metal running.

Crypto Today: Bitcoin steadies around $70,000, Ethereum and XRP remain under pressure

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