Forex Today: Markets mixed amid falling yields, cryptos lick their wounds, virus news eyed

Here is what you need to know on Monday, April 19:

Markets have kicked off the new week in a mixed mood, as US Treasury yields remain depressed despite upbeat US data. Cryptocurrencies are attempting recovery after a weekend crash. Rising global covid cases and advancing vaccination efforts are eyed. 

Mixed markets: Asian stocks and US futures are stable after closing last week significantly higher. Returns on US ten-year bonds remain below 1.60%, somewhat helping stocks. 

Cryptocurrencies have been attempting a recovery after collapsing over the weekend. Bitcoin is trading at around $57,000 after dipping below $52,000 on Sunday and nearing $65,000 last week. Ethereum and XRP are mimicking BTC's moves while Dogecoin stands out with rapid gains. The sharp moves come after Coinbase, one of the world's largest digital asset exchanges, listed on Wall Street. 

EUR/USD is trading below 1.20 as political uncertainty in Germany's ruling CDU party persists while more shots are getting into arms. The European Central Bank's rate decision is awaited on Thursday. 

GBP/USD is clinging to gains around 1.3850 as nearly half the population has received at least one inoculation. Gold has been holding onto its gains, benefiting from low US yields with XAU/USD hovering above $1,770.

The US reached 40% of its population with one jab, as all Americans are now offered the vaccine, but COVID-19 cases continue rising in several states. The reopening boosted economic activity as seen in March's 9.8% leap in retail sales and a sharp drop in jobless claims to 576,000. 

On the other hand, global coronavirus cases continue rising, hitting new records above five million per week. India is among the countries suffering a sharp increase. 

In China, Huarong, a troubled asset manager, has paid a large bond debt, alleviating worries that were circulating in recent weeks. The world's second-largest economy grew at a rapid annual pace in the first quarter this year but industrial output expansion somewhat disappointed. 

The pause that refreshes: Are currency markets hesitant to run with US data?

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.

Feed news

GME stock positioned for another short squeeze

Get the full analysis and chart in our Insights. Upgrade to Premium today    

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD: Dollar advances ahead of Fed

The greenback advanced on Friday to close the week with gains against most of its major rivals, with EUR/USD settling just above the 1.2100 level after trading as low as 1.2092. The focus is on the US Federal Reserve monetary policy meeting next Wednesday.


GBP/USD: Brexit tensions and reopening delays to hit the pound

The GBP/USD pair edged lower on Friday but held above the weekly low at 1.4072 and settled a few pips above the 1.4100 mark. British PM Johnson expressed “serious concern” about the spread of the Delta variant. GBP/USD at risk of falling further, mainly on a break below 1.4070.


Gold tests key trend line ahead of FOMC meeting

Gold spent the first half of the week trading in a relatively tight range as buyers could not hold the price above $1,900. Following a sharp decline to a six-day low of $1,869 on Thursday, the XAU/USD pair managed to stage a recovery and closed the day in the positive territory.

Gold News

Ethereum price prepares for a bullish weekend, targeting $3,000

Ethereum price seems prime to revisit $3,000. Although ETH faces resistance at $2,300, the upswing seems imminent. A downswing below $2,000 could invalidate the bullish thesis. 

Read more

Hot Inflation is warming the seat for the June FOMC

Americans are seeing the fastest price increases since their seventh-graders were born as inflation builds into the US economy from the disruptions of the pandemic lockdowns. Core CPI at 3.8% is the steepest gain in 29 years.

Read more