The dollar extended its disappointing start to the week and retreated to multi-day lows as market participants digested persistent US producer prices and Chairman Powell's neutral message ahead of the US CPI release on Wednesday.
Here's what you need to know on Wednesday, May 15:
The USD Index (DXY) added to Monday's decline and broke below the 105.00 level amid further weakness in US yields. On May 15, the US inflation rate will take center stage, followed by retail sales, business inventories, the NAHB housing market index, weekly MBA mortgage applications and TIC flows. Additionally, the Fed's Neel Kashkari and Bowman are scheduled to speak.
EUR/USD maintained its bullish bias and advanced to five-week highs above the 1.0800 barrier. Another estimate of the EMU first quarter GDP growth rate, along with overall Eurozone industrial production, is expected on May 15.
GBP/USD rose further north of the key 200-day SMA, while approaching the 1.2600 barrier. The next notable release on the UK calendar will be the BoE Financial Stability Report on 16 May.
USD/JPY posted its sixth day of gains in the last seven, this time breaking through the 156.00 barrier to hit fresh two-week highs. The preliminary GDP growth rate for the first quarter, final data on industrial production and foreign investment in bonds will be published on the Japanese agenda on May 16.
AUD/USD maintained its consolidative tone at the top of the range, always below the May high around 0.6650. In Australia the wage price index will be published on May 15.
WTI prices faded Monday's advance and turned lower again after the unchanged publication of the OPEC monthly report and the bullish surprise in US producer prices.
Gold prices resumed their bullish bias and flirted with the area of ​​$2,360 per troy ounce in response to the weakness of the Dollar and lower US yields. Silver joined Monday's rise and flirted with monthly highs around $28.75 an ounce.
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.
