Forex Today: Oil keeps dragging sentiment

FXStreet Team FXStreet

What you need to know on Wednesday, April 22nd:

The market’s mood remained sour, giving the dollar advantage against most of its major rivals. Crude oil prices remained under pressure, leading to negative closes in global indexes. The numbers related to the coronavirus pandemic continued to indicate flattening curves in most Europe and New York. Still, reigniting economies seems far away, as baby steps are being taken to reopen economies to prevent a second peak of COVID-19.
The Pound was the worst performer, as GBP/USD fell to the 1.2250 region. Dismal UK February employment data hurt the Pound, overshadowing an encouraging figure for March. The market rushed to price in much worse figures for the upcoming release.
The EUR/USD pair settled around 1.0850, as buyers surged on an approach to the 1.0800 level. The European Central Bank plans to hold a cal on Wednesday, and may discuss loosening collateral rules, and allow junk bonds as collateral.
Commodity-linked currencies recovered ahead of the close, helped by gold prices trimming most of their daily losses.
Crypto Today: Bitcoin subject to a huge test of $6500 support

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FXStreet Team

FXStreet

EUR/USD holds firm above 1.1900 as US NFP looms

EUR/USD holds its upbeat momentum above 1.1900 in the European trading hours on Wednesday, helped by a broadly weaker US Dollar. Markets could turn cautious later in the day as the delayed US employment report for January will takes center stage.

GBP/USD recovers losses despite rising UK political risks, BoE rate cut bets

Pound Sterling advances against the US Dollar after registering modest losses in the previous session, trading around 1.3650 during the Asian hours on Wednesday. The pair could extend losses as the Pound Sterling faces pressure from rising political risks in the UK and growing expectations of near-term Bank of England rate cuts.

Gold sticks to gains near $5,050 as focus shifts to US NFP

Gold holds moderate gains near the $5,050 level in the European session on Wednesday, reversing a part of the previous day's modest losses amid dovish US Federal Reserve-inspired US Dollar weakness. This, in turn, is seen as a key factor acting as a tailwind for the non-yielding yellow metal ahead of the critical US NFP release.

Bitcoin, Ethereum and Ripple show no sign of recovery

Bitcoin, Ethereum, and Ripple show signs of cautious stabilization on Wednesday after failing to close above their key resistance levels earlier this week. BTC trades below $69,000, while ETH and XRP also encountered rejection near major resistance levels. With no immediate bullish catalyst, the top three cryptocurrencies continue to show no clear signs of a sustained recovery.

Dollar drops and stocks rally: The week of reckoning for US economic data

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BNB prolonged correction signals deeper bearish momentum

BNB (BNB), formerly known as Binance Coin, is trading below $618 on Wednesday, marking the sixth consecutive day of correction since the weekend. The bearish price action is further supported by rising short bets alongside negative funding rates in the derivatives market.