- GBP/USD continues to trade in positive territory at around 1.2150.
- US Dollar stays on the back foot after UoM Consumer Sentiment Survey.
- The pair remains on track to post weekly gains.
GBP/USD declined toward 1.2100 during the European trading hours but regained its traction amid renewed US Dollar (USD) weakness. The pair seems to have stabilized at around 1.2150 in the American session and remains on track to end the week in positive territory.
Plunging US yields weigh on USD
Despite the negative shift witnessed in risk sentiment, the USD is having a difficult time finding demand ahead of the weekend. The benchmark 10-year US Treasury bond yield is down nearly 5% on the day at around 3.4%, forcing the US Dollar Index (DXY) to stay in the red near 104.00.
The data published by the University of Michigan (UoM) revealed on Friday that the Consumer Confidence Index declined to 63.4 in early March from 67 in February. More importantly, "year-ahead inflation expectations receded from 4.1% in February to 3.8%, the lowest reading since April 2021," UoM Surveys of Consumers Director, Joanne Hsu, said.
Ahead of next week's critical Federal Reserve policy meeting, this report seems to be causing investors to reassess their positions. According to the CME Group FedWatch Tool, the probability of a 25 basis points Fed rate hike next week currently stands at 68%, down from nearly 80% earlier in the day.
Technical levels to watch for
|Today last price||1.2148|
|Today Daily Change||0.0039|
|Today Daily Change %||0.32|
|Today daily open||1.2109|
|Previous Daily High||1.2128|
|Previous Daily Low||1.2027|
|Previous Weekly High||1.2114|
|Previous Weekly Low||1.1803|
|Previous Monthly High||1.2402|
|Previous Monthly Low||1.1915|
|Daily Fibonacci 38.2%||1.2089|
|Daily Fibonacci 61.8%||1.2066|
|Daily Pivot Point S1||1.2048|
|Daily Pivot Point S2||1.1988|
|Daily Pivot Point S3||1.1948|
|Daily Pivot Point R1||1.2149|
|Daily Pivot Point R2||1.2189|
|Daily Pivot Point R3||1.225|
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.
Follow us on Telegram
Stay updated of all the news
EUR/USD drops below 1.0850 as DXY extends gains
EUR/USD pulled back below 1.0850 during the American session and turned negative for the day, moving away from the three-day high it hit earlier at 1.0871. The US Dollar gained momentum in a relatively quiet session.
GBP/USD retreats further from seven-week highs toward 1.2300
GBP/USD dropped to 1.2300 after the beginning of the American session amid a stronger US Dollar. Earlier on Wednesday reached the highest level since February 2 at 1.2360. The pair holds an upward bias but bulls need above 1.2300.
Gold: XAU/USD fails to retake $1,970 Premium
Gold reversed at $1,971/oz and retreated finding support above $1,960. Higher US yields make it difficult for XAU/USD to gather strength. Also, the DXY is trading at daily highs near 102.80, adding weight to gold.
XRP Price Prediction: Whales could be expecting a 20% rally
XRP price has been rising impressively, drawing investors towards the crypto asset. However, these traders might want to brace for a potential pullback following the recent rallies despite the Ripple community preparing for a win against the SEC.
Athleisure does it again as earnings blowout send LULU up 17%
Lululemon Athletica (LULU), the only heir to Nike's (NKE) success in the athletic wear realm, reported earnings late Tuesday that show why it has remained a must-own stock despite the market tanking over the past year.