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Forex Today: Further US inflation gauges should rule the sentiment

The US Dollar succumbed to the late selling pressure and faded the post-CPI move to weekly highs, while investors kept digesting Powell’s testimonies and sticky consumer prices in January.

Here is what you need to know on Thursday, February 13:

The US Dollar Index (DXY) added to Tuesday’s decline and broke below the 108.00 support despite the intense move higher in US yields across the curve. The usual weekly Initial Jobless Claims wil be published along with Producer Prices.

EUR/USD reclaimed the 1.0400 zone and beyond to print fresh weekly highs back by the late pullback in the US Dollar. Germany’s final Inflation Rate will be released on February 13, along with the Industrial Production in the euro area and the speech by the ECB’s Cipollone.

GBP/USD maintained its constructive bias and rose well north of 1.2400 the figure. Interesting docket in the UK will feature the RICS House Price Balance, along with the preliminary Q4 GDP Growth Rate, Business Investment, Goods Trade Balance, Industrial and Manufacturing Production, Construction Output, and the NIESR Monthly GDP Tracker.

USD/JPY rose markedly to multi-day highs north of the 154.00 hurdle on the back of higher US and Japanese yields. The Producer Prices are expected in Japan.

AUD/USD reversed two daily advances in a row, although it remained close to the key resistance area around 0.6300.

Prices of WTI tumbled to new lows near the $71.00 mark per barrel following the cautious stance by the Fed and larger-than-expected US crude oil inventories.

Prices of Gold regained traction and revisited the $2,900 region per ounce troy following an early drop to the vicinity of $2,860. Silver prices rallied to two-day highs past the $32.00 mark per ounce.

Author

Pablo Piovano

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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