Here is what you need to know on Friday, April 29:

The US Dollar Index (DXY) turned south following a six-day rally, during which it gained more than 3%, early Friday with investors finally looking to book their profits on the last trading day of April. First-quarter Gross Domestic Product (GDP) and April HICP inflation data from the euro area will be watched closely by market participants ahead of the Personal Consumption Expenditures (PCE) Price Index, Personal Income and Personal Spending figures from the US.

Although the dollar continued to outperform its rivals despite the disappointing growth data on Thursday, it is having a difficult time finding demand ahead of the weekend. The improving market mood, as reflected by strong gains seen in major European equity indexes, seems to be playing a role in recent dollar weakness. 

US GDP Quick Analysis: Houston, we have contraction, but three reasons support dollar strength.

EUR/USD is trading at a fresh daily high above 1.0570 early Friday. In addition to the selling pressure surrounding the dollar, the euro's strength is helping the pair extend its rebound. The data from Germany revealed earlier in the day that the economy grew at an annualized rate of 3.7% on a yearly basis in the first quarter (calendar-adjusted) of 2022. This reading came in better than analysts' estimate of 3.6%.

After touching its lowest level since July 2020 near 1.2400 on Thursday, GBP/USD gained traction and was last seen rising nearly 0.8% on the day above 1.2550.

USD/JPY is pulling away from the fresh multi-decade high it set above 131.00 on Thursday and is trading below 130.00 in the early European session.

Gold registered modest gains on Thursday and gathered bullish momentum after breaking above $1,900 early Friday. The benchmark 10-year US Treasury bond yield is trading flat on the day near 2.84%, allowing XAU/USD to capitalize on the dollar weakness.

Bitcoin rose above $40,000 but failed to close there on Thursday. BTC/USD trades with modest losses near $39,500 on Friday. Ethereum lost its bullish momentum before reaching $3,000 and was last seen fluctuating in a relatively tight range around $2,900.

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 Join Telegram

Recommended content


Recommended content

Editors’ Picks

EUR/USD remains sidelined below 1.0600 ahead US data

EUR/USD remains sidelined below 1.0600 ahead US data

EUR/USD is trading close to 1.0600, keeping its range play intact. The US dollar stays sluggish amid a better mood, awaiting the CB Consumer Confidence data. The euro shrugs off the ECB commentary on the new anti-fragmentation tool. 

EUR/USD News

GBP/USD ranges below 1.2300 amid sluggish USD, US data eyed

GBP/USD ranges below 1.2300 amid sluggish USD, US data eyed

GBP/USD is moving back and forth in a familiar range below 1.2300, lacking a clear directional bias amid a muted US dollar index and risk-on sentiment. Ongoing Brexit and UK political woes remain a drag on the pound. US data eyed. 

GBP/USD News

Gold bears eye $1,820 and $1,816 as next targets

Gold bears eye $1,820 and $1,816 as next targets

Optimism prevails, pointing to a turnaround Tuesday for the financial markets, as the previous week’s upbeat global momentum returns and caps the broad US dollar recovery. Investors remain wary ahead of the key NATO Summit.

Gold News

Former Ripple CTO is dumping millions of XRP, traders beware

Former Ripple CTO is dumping millions of XRP, traders beware

XRP price shows promise that it is ready to trigger a massive run-up as the first half of the year comes to an end. There are three reasons why investors should be bullish on Ripple.

Read more

FXStreet Premium users exceed expectations

FXStreet Premium users exceed expectations

Tap into our 20 years Forex trading experience and get ahead of the markets. Maximize our actionable content, be part of our community, and chat with our experts. Join FXStreet Premium today!

BECOME PREMIUM

Forex MAJORS

Cryptocurrencies

Signatures