FX Today: GDP figures in Euroland take centre stage; investors gear up for US data

Pablo Piovano FXStreet

The US Dollar (USD) resumed its downtrend on Thursday, reaching fresh monthly lows as market participants assessed the deal that ended the longest US government shutdown in history. Meanwhile, bets on a Fed rate cut in December remained pretty divided.

Here’s what to watch on Friday, November 14:

The US Dollar Index (DXY) remained on the back foot despite a small uptick in US Treasury yields across the curve, challenging the 99.00 zone, or monthly lows. The Fed’s Logan and Bostic are due to speak in an otherwise empty docket.

EUR/USD rose for the third day in a row, reaching fresh two-week highs near 1.1660. The Balance of Trade results in the broader euro area and the second estimate of the Q3 GDP Growth Rate will wrap up the weekly domestic calendar.

GBP/USD reversed two daily drops in a row and surpassed the 1.3200 barrier amid further weakness in the Greenback. Next on tap across the Channel will be the Inflation Rate on November 19.

USD/JPY hit new 9-month highs just over the 155.00 hurdle before embarking on a daily correction to the vicinity of the 154.00 support. The Tertiary Industry Index will be the salient event on the Japanese calendar.

AUD/USD ended the day practically unchanged despite hitting two-week tops around 0.6580 earlier in the session. The RBA will publish its Minutes on November 18.

WTI prices regained some composure following Wednesday’s sharp decline, briefly surpassing the $59.00 mark amid investors’ assessment of sanctions on Russian oil and global oversupply concerns.

Gold gave away initial gains near the $4,250 mark per troy ounce, or three-week peaks, and returned to the $4,190 region ahead of the closing bell on Wall Street on Thursday. Silver prices flirted with tops past the $54.00 mark per ounce before returning to the sub-$53.00 zone, down markedly for the day.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

AUD/USD sticks to positive bias above 0.7100; lacks bullish conviction

AUD/USD trades with a positive bias for the second straight day, holding above 0.7100 in the Asian session on Friday as softer US bond yields keep US Dollar bulls on the back foot. Furthermore, hawkish RBA Governor Bullock's comments boost rate hike bets and support the Aussie. However, the Fed's hawkish outlook, along with geopolitical uncertainties, limits USD losses and caps the pair.

USD/JPY approaches 158.00 as Japanese Yen resumes decline

USD/JPY is resuming its upside in the European session on Friday, refreshing two-week highs and nearing 158.00. The Japanese Yen extends losses, despite the Bank of Japan's (BoJ) expected rate hike to 1.25% and hawkish Governor Ueda's comments, as two surprise dissents against the rate hike weigh on it.

Gold keeps the bid tone in place; still below $4,400

Gold adds to the optimism seen in the second half of the week, trading with decent gains just below the $4,400 mark per troy ounce on Friday. The precious metal’s advance finds traction in declining crude oil prices and fresh selling pressure on the US Dollar.

Why altcoin season isn't coming back — and what stole its capital

If, after two years of being frozen in ice, Katara and Sokka woke you up to the crypto market, it would seem like 100 years have passed. With Bitcoin soaring to record highs just over a year ago, everyone expected a routine altcoin season, where investors take profits from the top crypto to chase higher returns in altcoins.

BoJ Recap: Not as hawkish as expected

The BoJ raised its short-term interest-rate target to 1.25% from 1.00% in a 7-2 vote, marking another step in the normalisation of monetary policy and widely matching what everyone has been expecting for weeks. Governor Kazuo Ueda said the policy phase had changed.

BoJ Recap: Not as hawkish as expected

The Bank of Japan (BoJ) raised its short-term interest-rate target to 1.25% from 1.00% in a 7-2 vote, marking another step in the normalisation of monetary policy and widely matching what everyone has been expecting for weeks.