EUR/USD has gained traction and climbed above 1.0900 in the European session after the upbeat sentiment data from the Eurozone area helped the Euro gather strength. Meanwhile, the US Dollar stays on the back foot despite the cautious market mood.
GBP/USD has gathered recovery momentum and advanced beyond 1.2400 on Monday. The modest selling pressure surrounding the US Dollar ahead of key central bank policy announcements later this week seems to be helping the pair push higher.
Gold price has recovered toward $1,930 and erased its daily losses. With the benchmark 10-year US Treasury bond yield gaining more than 1% on the day above 3.5%, however, XAU/USD is struggling to gather further bullish momentum.
Ethereum price has been consolidating after the January rally subsided after three weeks. This tightening continues even after BTC shot up 3% over the weekend. Therefore, a short-term spike in buying pressure should is likely.
While the entire global investment community is apparently very excited about the US Fed slowing its rate increases to 25 bps, there are strong reasons for arguing why another 50 bps rate hike, or two, are still on the menu.