What you need to take care of on Tuesday, February 28:
The US Dollar started the week extending its positive momentum from last week, although demand for the American currency faded ahead of the US opening, following a mixed United States Durable Goods Orders report. US Durable Goods Orders fell by 4.5% MoM in January, worse than anticipated, although the core reading was slightly better than anticipated. Pending Home Sales, on the other hand, rose 8.1% in the same month, beating expectations.
Meanwhile, European Central Bank officials repeated their hawkish rhetoric, reaffirming a 50 bps rate hike in March. Their US Federal Reserve counterparts, also lifted the bets, claiming they will do more if inflation does not come back down.
Overall, market players seemed a bit more relaxed, but inflation and growth concerns continue to affect the market mood.
The EUR/USD pair recovered the 1.0600 threshold, as despite poor US figures, Wall Street ended the day with gains. The positive tone of equities weighed on the Greenback.
The UK and the EU have agreed to amend the Northern Ireland protocol. In a joint press conference with European Commission President Ursula von der Leyen on Monday, British Prime Minister Rishi Sunak announced a new "Windsor framework," a decisive breakthrough to end uncertainty in Northern Ireland. The deal still needs to be approved but helped GBP/USD to remain afloat, with the pair currently trading around 1.2050.
AUD/USD flirted with the 0.6700 level, bouncing to end the day pretty much unchanged around 0.7635. Australian Retail Sales are coming up early Tuesday. The USD/CAD pair is down to 1.3580, while USD/JPY ended the day with modest losses around 136.20
Gold trades below $1,820 a troy ounce after falling to a fresh 2023 low of $1,806.52. Crude oil prices edged lower, with WTI now trading at $75.65 a barrel.
XRP staking to catalyze the next Ripple bull run?
Like this article? Help us with some feedback by answering this survey:
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.
Recommended content
Editors’ Picks
EUR/USD alternates gains with losses near 1.0720 post-US PCE
The bullish tone in the Greenback motivates EUR/USD to maintain its daily range in the low 1.070s in the wake of firmer-than-estimated US inflation data measured by the PCE.
GBP/USD clings to gains just above 1.2500 on US PCE
GBP/USD keeps its uptrend unchanged and navigates the area beyond 1.2500 the figure amidst slight gains in the US Dollar following the release of US inflation tracked by the PCE.
Gold keeps its daily gains near $2,350 following US inflation
Gold prices maintain their constructive bias around $2,350 after US inflation data gauged by the PCE surpassed consensus in March and US yields trade with slight losses following recent peaks.
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
Week ahead – Hawkish risk as Fed and NFP on tap, Eurozone data eyed too
Fed meets on Wednesday as US inflation stays elevated. Will Friday’s jobs report bring relief or more angst for the markets? Eurozone flash GDP and CPI numbers in focus for the Euro.