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Forex Today: Investors now look at US CPI, FOMC Minutes

The US Dollar failed to gather traction in either direction amidst rising cautiousness prior to the release of US inflation figures and the publication of the FOMC Minutes, both events scheduled for Wednesday. Meanwhile, a glimpse at the risk-linked galaxy saw mixed performances in the FX universe and a broad-based decline in global yields.

Here is what you need to know on Wednesday, April 10:

The Greenback alternated gains with losses, leaving the USD Index (DXY) just above the 104.00 yardstick. On April 10, all attention will be on the release of the Inflation Rate measured by the CPI, seconded by Wholesale Inventories and FOMC Minutes. In addition, Fed’s Bowman and Goolsbee are due to speak.

EUR/USD met some initial resistance around three-week peaks in the vicinity of the 1.0900 barrier. The next risk event in the euro area will be the ECB’s interest rate decision on April 11.

GBP/USD finally managed to briefly surpass the key 1.2700 hurdle, although the bullish attempt ran out of steam afterwards. In the UK, GDP readings will take centre stage towards the end of the week.

The multi-session consolidative range remained unchanged in USD/JPY, always limited by the 152.00 barrier and surrounded by persistent speculation on FX intervention. In Japan, Bank Lending, Producer Prices, and the speech by BoJ’s Ueda are all due on April 10.

The continuation of the upside bias saw AUD/USD climb to multi-week highs near 0.6650, although deflating somewhat as the session drew to a close. The next key release in Oz will be April’s Consumer Inflation Expectations, due on April 11.

Prices of WTI retreated for the third consecutive session and flirted with the $85.00 mark per barrel ahead of the weekly report on US crude oil inventories by the EIA (April 10).

Prices of Gold edged further up and clinched a record high at $2,365 per troy ounce, up for the third straight session. Its cousin Silver followed suit and revisited the $28.30 region for the first time since early June 2021.

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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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