The Greenback managed to shrug off part of the recent steep decline on Monday, ending the session barely changed while investors kept assessing the latest release of the US labour market report.
Here is what you need to know on Tuesday, May 7:
The USD Index (DXY) bounced off three-week lows and regained the 105.00 barrier despite lower yields across the curve. On May 7, the RCM/TIPP Economic Optimism Index, Consumer Credit Change, and the speech by N. Kashkari (Minneapolis Fed) are all due.
EUR/USD extended its march north, although another test of the 1.0800 hurdle remained elusive on Monday. Germany’s Balance of Trade and Retail Sales in the euro area are due on May 7, along with the speech by BuBa’s J. Nagel.
GBP/USD maintained its bullish momentum well in place, albeit faltering just ahead of 1.2600 the figure at the beginning of the week. The BRC Retail Sales Monitor and the S&P Global Construction PMI are expected on May 7.
The resurgence of selling pressure in the Japanese yen helped USD/JPY reverse course and reclaim the proximity of the 154.00 region. On May 7, weekly Foreign Bond Investment figures are the only due.
AUD/USD traded in a solid fashion and broke above the 0.6600 level, flirting at the same time with so-far monthly tops. On May 7, the RBA is expected to keep its OCR unchanged at 4.35%.
Reignited geopolitical effervescence motivated WTI prices to rebound from recent peaks in the area below the $78.00 mark per barrel.
Gold prices attempted a move higher and surpassed the $2,300 mark per troy ounce while traders kept assessing the prospects of interest rate cuts by the Fed. By the same token, Silver prices rose sharply to multi-day highs north of the $27.00 mark per ounce.
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD retreats toward 1.0850 on modest USD recovery
EUR/USD stays under modest bearish pressure and trades in negative territory at around 1.0850 after closing modestly lower on Thursday. In the absence of macroeconomic data releases, investors will continue to pay close attention to comments from Federal Reserve officials.
GBP/USD holds above 1.2650 following earlier decline
GBP/USD edges higher after falling to a daily low below 1.2650 in the European session on Friday. The US Dollar holds its ground following the selloff seen after April inflation data and makes it difficult for the pair to extend its rebound. Fed policymakers are scheduled to speak later in the day.
Gold climbs to multi-week highs above $2,400
Gold gathered bullish momentum and touched its highest level in nearly a month above $2,400. Although the benchmark 10-year US yield holds steady at around 4.4%, the cautious market stance supports XAU/USD heading into the weekend.
Chainlink social dominance hits six-month peak as LINK extends gains
-637336005550289133_XtraSmall.jpg)
Chainlink (LINK) social dominance increased sharply on Friday, exceeding levels seen in the past six months, along with the token’s price rally that started on Wednesday.
Week ahead: Flash PMIs, UK and Japan CPIs in focus – RBNZ to hold rates
After cool US CPI, attention shifts to UK and Japanese inflation. Flash PMIs will be watched too amid signs of a rebound in Europe. Fed to stay in the spotlight as plethora of speakers, minutes on tap.