A data-driven sell-off prompted the USD Index (DXY) to give away part of its recent advance amidst lower yields across the curve. The BoE kept rates unchanged and opened the door to a rate cut sooner than anticipated, reinforcing the policy divergence between the Fed and its G10 peers.
Here is what you need to know on Friday, May 10:
The USD Index (DXY) corrected lower and set aside three daily advances in a row against the backdrop of diminishing yields. On May 10, the preliminary Michigan Consumer Sentiment will take centre stage along with speeches by Fed’s Bowman, Goolsbee and Barr.
EUR/USD regained some balance along with the better tone in the broader risk-linked space. The ECB will publish its Accounts of the April meeting on May 10.
GBP/USD charted modest gains beyond 1.2500 the figure after the BoE’s dovish hold sent the pair to fresh lows near 1.2440. A busy UK calendar will show GDP figures on May 10 seconded by Industrial and Manufacturing Production, Construction Output, Balance of Trade, the NIESR Monthly GDP Tracker and the speech by BoE’s Pill.
USD/JPY navigated an irresolute range around 155.50, maintaining its weekly positive performance well and sound. On May 10, Household Spending is due followed by Bank Lending, Foreign Bond Investment and the Eco Watchers Survey.
AUD/USD set aside a two-session negative streak and reclaimed the area above the 0.6600 hurdle amidst the generalized improvement in the risk complex. The next data release in Australia will be the Wage Price Index on May 15.
Prices of WTI dropped slightly after the move to the vicinity of the $80.00 mark per barrel lacked follow through.
Prices of Gold rose markedly to multi-day highs near the $2,340 area on the back of the weaker dollar and lower US yields. Silver followed suit and went up more than 3% past the $28.00 mark per ounce, or two-week highs.
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 holds steady above 1.0800, looks to post weekly losses
EUR/USD trades marginally higher on the day above 1.0800 after the data from the US showed that Durable Goods Orders declined by 0.8% in September. Nevertheless, the pair remains on track to close the fourth consecutive week in negative territory.
GBP/USD extends recovery to 1.3000 area
GBP/USD extends its recovery and trades at around 1.3000 in the American session on Friday. The US Dollar struggles to gather strength as the market mood remains positive heading into the weekend, allowing the pair to hold its ground.
Gold fluctuates in narrow range below $2,750
Gold stays in a consolidation phase and fluctuates in a relatively tight range below $2,750 on Friday. US Treasury bond yields stabilize in the American session, making it difficult for XAU/USD to gather directional momentum.
Crypto Today: XRP, Bitcoin and Ethereum decline as Ripple files response to SEC appeal
XRP loses over 1.30% as Ripple's executive confirms the filing of an important document in the appeals process in the SEC lawsuit. Bitcoin corrects less than 1% and sustains above $67,500. Ethereum is down nearly 0.20%, holding above the key support level of $2,500.
US elections: The race to the White House tightens
Trump closes in on Harris’s lead in the polls. Neck and neck race spurs market jitters. Outcome still hinges on battleground states.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.