The risk complex regained strong upward traction thanks to the broad-based bid stance in the US Dollar following the release of US CPI inflation data for April.
Here's what you need to know on Thursday, May 16:
In a disastrous session for the Dollar, the USD Index (DXY) retreated further and revisited the key 200-day SMA zone near 104.30 on Wednesday. On May 16, the US housing sector will be in the spotlight with the monthly release of building permits and housing starts, in addition to the usual initial jobless claims, the Philadelphia Fed manufacturing index and industrial production. Additionally, the Fed's Barr, Harker, Mester and Bostic are scheduled to speak.
The EUR/USD rose for the third consecutive session and approached the 1.0900 barrier, always thanks to the sales of the USD. The ECB will publish its financial stability report on May 16, which will be the only publication on the national agenda.
GBP/USD continued to move north and approached the 1.2700 barrier. The BoE financial stability report will be published on May 16.
USD/JPY broke its multi-day uptrend and retreated to multi-session lows in the area below 155.00 following increasing dollar weakness and declining yields. On May 16, the first quarter GDP growth rate, final figures for industrial production and weekly investment in foreign bonds will be published.
The strong risk asset session pushed AUD/USD close to the 0.6700 barrier, pending key data from Australia. The release of the labor market report and the RBA's Hunter speech are expected on May 16 in Oz.
The drop in crude oil supplies in the US, greater than expected, and the sharp decline in the Dollar sustained the decent rise in WTI prices despite the discouraging EIA report.
Gold prices rose to near the $2,400 area per troy ounce on growing expectations of Fed interest rate cuts, weaker Dollar and lower US yields. Silver followed suit and approached the key mark of $30.00 per ounce, or five-week highs.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
