EUR/USD is trading close to 1.0500, undermined by the market anxiety ahead of the key data/events. ECB’s Lagarde failed to recall buyers amid inflation fears, yields remain pressured amid recession risks. Fed’s Powell need to defend the hawkish policy.
GBP/USD is trading below 1.2200, erasing gains amid a renewed uptick in the US dollar across the board. Investors remain wary amid looming recession and Brexit worries. Powell and Bailey is due to speak at the Policy Panel at the ECB Forum on Wednesday.
Gold prolonged this week's rejection slide from the very important 200-day SMA and edged lower for the third successive day on Wednesday. The downtick dragged spot prices to a nearly two-week low, around the $1,816-$1,815 region.