What you need to know on Wednesday, April 14:
Markets seesawed between risk-aversion and risk-appetite. The sentiment was sour ahead of Wall Street’s opening, following news that the US FDA paused the application of the Johnson & Johnson coronavirus vaccine due to at least six cases of severe blood clots related to the shot. Stocks plummeted, providing temporary support to the greenback.
Financial markets changed course after upbeat US inflation figures. The US March Consumer Price Index jumped to 2.6% YoY, while the core reading hit 1.6%, spurring risk appetite. Wall Street trimmed intraday losses, resulting and the dollar edged lower.
US Treasury yields also came under pressure, with the yield on the 10-year note down to 1.62%.
In Europe, the German ZEW Survey showed that the Economic Sentiment contracted in April, but the shared currency got to advance to a fresh 3-week high against the greenback.
In the UK, the February Goods Trade Balance posted a deficit of £-16.442 billion, worse than anticipated, while the monthly Gross Domestic Product printed at 0.4% for February, better than the previous -2.2% but worse than the 0.6% expected. Industrial Production in the country fell by 3.5% YoY, better than the -4.4% expected, while Manufacturing Production decreased by 4.2% YoY vs the -5.1% anticipated. The pound managed to post a modest intraday advance.
Bank of England Chief Economist Andy Haldane announced he would quit his position and step down from the Monetary Policy Committee after June's meeting to become the Chief Executive of the Royal Society for Arts, Manufactures and Commerce.
The Organization of the Petroleum Exporting Countries raised its forecast for global oil demand growth in 2021 to 5.95 million barrels per day from 5.89 million previously. Crude oil prices were marginally higher, with WTI ending the day at $60.00 a barrel.
Gold recovered the lost ground, with spot ending the day at $ 1,745 a troy ounce, its highest for the week.
Dogecoin price jumps 20% again as investment company buys $60 million worth of Dogecoin Cash
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 above 1.0700 ahead of key US data
EUR/USD trades in a tight range above 1.0700 in the early European session on Friday. The US Dollar struggles to gather strength ahead of key PCE Price Index data, the Fed's preferred gauge of inflation, and helps the pair hold its ground.
USD/JPY stays above 156.00 after BoJ Governor Ueda's comments
USD/JPY holds above 156.00 after surging above this level with the initial reaction to the Bank of Japan's decision to leave the policy settings unchanged. BoJ Governor said weak Yen was not impacting prices but added that they will watch FX developments closely.
Gold price oscillates in a range as the focus remains glued to the US PCE Price Index
Gold price struggles to attract any meaningful buyers amid the emergence of fresh USD buying. Bets that the Fed will keep rates higher for longer amid sticky inflation help revive the USD demand.
Sei Price Prediction: SEI is in the zone of interest after a 10% leap
Sei price has been in recovery mode for almost ten days now, following a fall of almost 65% beginning in mid-March. While the SEI bulls continue to show strength, the uptrend could prove premature as massive bearish sentiment hovers above the altcoin’s price.
US core PCE inflation set to signal firm price pressures as markets delay Federal Reserve rate cut bets
The core PCE Price Index, which excludes volatile food and energy prices, is seen as the more influential measure of inflation in terms of Fed positioning. The index is forecast to rise 0.3% on a monthly basis in March, matching February’s increase.