Forex Today: Slow start to another busy week

FXStreet Team FXStreet

What you need to know on Monday, May 4th:

The American dollar closed Friday mixed, down against its EUR and the JPY but up against other major rivals. Commodity-linked currencies were the ones that suffered the most, as Wall Street plunged.

The US April ISM Manufacturing PMI came in at 41.5, down fro the previous 49.1 but above the expected 36.9. The sub-components, however, were quite disappointing, particularly the employment one, which plunged to 27.5.

US President Trump menaced to impose fresh tariffs on China amid the miss-handling of the coronavirus outbreak, weighing on the market’s sentiment. Wall Street closed deep in the red, further undermined by dismal earnings reports.

UK PM Johnson was optimistic about the coronavirus situation, as he tweeted that the kingdom is “past the peak and on the downward slope.” Nevertheless, it is quite unlikely that the UK will lift the lockdown anytime soon, suggesting an extended economic setback ahead.

Gold prices recovered ground on Friday amid renewed risk aversion. Spot gold settled at around $1,700.00.

US crude oil settled just below $20.00 a barrel after Baker Hughes reported the number of active rigs declined for a seventh consecutive week to 408 from 465 in the previous week.

Cryptocurrencies spent Sunday consolidating near their recent highs. BTC/USD clings to modest gains above $9,000.

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FXStreet Team

FXStreet

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

GBP/USD clings to multi-day peaks below 1.3500

GBP/USD trades with marked gains on Friday, now giving away some gains following an earlier surpass of the key 1.3500 yardstick. Indeed, Cable gathers fresh steam amid the strong offered stance in the Greenback, all after US NFP badly missed expectations in July.

EUR/USD: Post-NFP bounce falters around 1.1580

EUR/USD reverses Thursday’s decline and trades with solid gains in the 1.1560 region, or two-month peaks, on Friday. The pair’s firm performance comes in a context of a sharp correction in the US Dollar as investors continue to assess disheartening US NFP readings.

How Wall Street rigs the game [Video]

In this week’s Live from the Vault, Andrew Maguire is joined by Peter Antico and Sean Stone to discuss the Paradigm of Money - an in-depth expose of financial market corruption, from naked shorting to the two-tier system that protects Wall Street.

XRP Price Forecast: XRP nears critical $1.00 support

Ripple (XRP) remains pressured on Friday, trading around $1.03 at the time of writing. The token appears to hold this current level as support but lacks a catalyst to sustain a knee-jerk rebound toward the next key resistance at $1.10.

Is Gold about to enter its biggest bull run since 2020?

Gold has stormed back into the spotlight and its next move could leave late buyers chasing. On August 5, the yellow metal surged almost 7% – roughly $174 – to close near $4,308 an ounce, posting one of its biggest daily advances in recent history. A weaker U.S dollar, falling Treasury yields, changing Federal Reserve expectations and renewed safe-haven demand all struck at once.

9-3: Is the Federal Reserve’s vote tally Warsh's new forward guidance?

The rate did not move. Neither did the statement, and that’s the more interesting fact. Set the July 29 Federal Open Market Committee (FOMC) statement beside the one issued on June 17, and the two documents are identical apart from a single verb and a paragraph at the bottom naming three dissenters.