The US Dollar managed to regain some balance and stage a tepid rebound helped by the resumption of concerns over US tariffs, as well as a widespread selling pressure in the risk-linked universe.
The US Dollar Index (DXY) regained the smile and reversed a multi-day bearish move, briefly trespassing the key 107.00 hurdle on Tuesday. The usual MBA Mortgage Applications are due seconded by Building Permits, Housing Starts, the FOMC Minutes and the API’s weekly report on US crude oil inventories. In addition, the Fed’s Jefferson is expected to speak.
EUR/USD added to Monday’s rejection from recent yearly peaks north of the 1.0500 barrier. The Current Account results in the euro area will be published, followed by the European Commission’s Winter Forecasts.
GBP/USD’s three-day advance met some resistance past 1.2600 the figure, giving away part of the recent strong gains. The publication of UK inflation figures will take centre stage.
Renewed depreciation of the Japanese yen encouraged USD/JPY to reverse the recent bearish move and end the day with humble gains. The Balance of Trade readings and Machinery Orders are due on the Japanese calendar.
AUD/USD struggled to maintain its bullish bias, although it managed well to keep business well above the key 0.6300 level. The Westpac Leading Index and the quarterly Wage Price Index will be released in Oz.
WTI prices added to the optimism seen at the beginning of the week and retested the key $72.00 mark per barrel following renewed supply concerns.
Gold prices extended the auspicious start to the week and climbed further north of the $2,900 mark per ounce troy following the resurgence of the tariff narrative and safe haven demand. Silver prices rallied past the $32.00 mark per ounce to clock weekly peaks.