As US markets returned to their daily routine, investors’ declining speculation on interest rate cuts by the Fed lent strong support to the Greenback, while ECB officials also remained at odds with markets’ perceptions of the timing of interest rate reductions, eventually weighing on the European currency.
Blogs
Canadian Dollar climbs on Tuesday, but Greenback climbs higher
The Canadian Dollar (CAD) climbed against most of its currency trading peers on Tuesday, but fell back against the US Dollar (USD), which took top spot as the best-performing major currency.
Euro slides against Greenback as ECB talks down rate movement expectations
The Euro (EUR) mixed on Tuesday, holding mostly steady against its peers but seeing steep declines against the US Dollar (USD).
Mexican Peso sinks as high US yields underpins the US Dollar
The Mexican Peso posts back-to-back days with losses and plummets sharply against the US Dollar (USD), which benefits from risk aversion, and traders pricing in a less dovish Federal Reserve (Fed), according to Chicago Board of Trade (CBOT) data.
US Treasury yields climb amid central bank policymakers speeches
US Treasury yields rose across the board as interest rate traders in the futures market trimmed their bets that the US Federal Reserve (Fed) would cut rates as quickly as expected.
US Dollar climbs to its highest level since mid-December, US yields
The US Dollar (USD) started the trading session by surging to the 103.40 mark, quickly being pulled back by the resistance of the 100-day SMA.
Gold Price Forecast: XAU/USD faces downward pressure influenced by US strength and high US yields
In Tuesday's trading session, the XAU/USD showcased a significant downward trajectory, trading near the $2,025 mark.
GBP/USD tests into 2024’s lows near 1.2620 despite sharp revisions in unemployment figures
The GBP/USD fell to a near-term low of 1.2620 in Tuesday trading as broader markets shrug off upbeat economic data from the UK in favor of bidding up the US Dollar (USD) across the board, sending the Pound Sterling (GBP) into the new year’s lows and putting further pressure on the pair.
ECB's Muller: Market rate cut bets are aggressive, but wage data not in-line with inflation
European Central Bank (ECB) Governing Board Member and Governor of the Central Bank of Estonia Madis Müller added his comments to his cohort's messages to the market on Tuesday.