Forex Today: Kiwi cheers NZ CPI, trade talks set to resume, and Bitcoin recovery falters

NZ dollar advances further on steady NZ inflation data.
RBA minutes: Ready to ease further when needed.
Bitcoin faces rejection below the 11k mark.

Dhwani Mehta FXStreet

Here is what you need to know to start your day on Tuesday, July 16th, European session:

- New Zealand’s Q2 CPI data matched estimates and drove NZD/USD to fresh 3-month highs of 0.6738, Aussie hung near 10-day tops despite dovish RBA minutes, USD/JPY held steady near 108.00 amid weaker Asian stocks. *

- US dollar index extended overnight consolidation just below 97 mark, 10-year treasury yields were modestly flat, Gold traded firmer above 1415 levels. *

- UK: Easing fears over a Hard Brexit kept the Cable buoyed ahead of key UK jobs report and Carney’s speech. *

- S. Korea-Japan trade tensions escalated as Japanese Trade Minister Seko lashed out at S. Korea. US-China trade talks to resume this week, US Treasury Sec. Mnuchin said. *

- Oil prices steadied as US Gulf of Mexico output resumed, the focus stays on API data, Middle East developments. *

- Cryptocurrencies stalled the recovery from the recent carnage. Bitcoin’s recovery fizzled below 11k. Mnuchin joined US regulators to air concerns over Facebook’s Libra. *

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

EUR/USD struggles to regain momentum in the low1.1600s

EUR/USD is giving some signs of life in the aftermath of two severe days of losses on Wednesday, reclaiming the 1.1600 hurdle and above on the back of the resurgence of a mild selling bias around the US Dollar. Moving forward, the usual US weekly Claims will take centre stage on Thursday ahead of Friday’s crucial NFP data.

GBP/USD appears bid around 1.3370

GBP/USD reverses part of its recent multi-day decline, gathering some balance and managing to reach the 1.3400 region, where some initial resistance seems to have turned up. Cable’s uptick comes in response to some loss of momentum in the Greenback despite the geopolitical scenario remaining fragile.

Gold recovers modestly despite intensifying Middle East crisis

Gold keeps its daily gains well in place, although a break above the $5,200 mark per troy ounce still remains elusive on Wednesday. The yellow metal’s rebound comes in response to the persistent flight-to-safety amid intense geopolitical tensions in the Middle East and the bearish performance of the US Dollar.