This is what you need to know to trade today Wednesday May 10:
The DXY US Dollar Index, which measures the dollar’s performance against a basket of six major currencies, appears to have entered a consolidation phase after closing the first two days of the week in positive territory. Although markets remain relatively quiet as of early Wednesday, data from the April Consumer Price Index (CPI) in the US they should increase volatility in the second half of the day.
See: US April CPI Preview: How Will Inflation Data Affect the Fed’s Rate Outlook?
Wall Street’s main indices closed Tuesday in negative territory due to the lack of progress in debt ceiling negotiations. US stock index futures are trading slightly higher in European morning Wednesday and the benchmark 10-year US Treasury yield is hovering slightly above 3.5%.
He EUR/USD it extended its correction to the downside on Tuesday and closed well below 1.1000. With hawkish comments from European Central Bank (ECB) governors helping the Euro hold its ground, the pair rallied early Wednesday but remains below 1.1000. Data from Germany showed earlier in the day that annual CPI rose 7.2% in Aprilmatching the preliminary estimate and market expectations.
The losses of GBP/USD remained subdued despite Tuesday’s risk aversion as markets refrain from betting on sterling weakness ahead of Thursday’s Bank of England monetary policy announcement. The pair continues to fluctuate above 1.2600 early on Wednesday.
See: Bank of England Preview: Bailey to Break Pound’s Rally with Reluctance to Raise Rates Further
He USD/JPY posted small gains on Tuesday and trades above 135.00 in the European morning. Data from Japan has revealed that the Leading Economic Index fell to 97.5 in March from 98 in February. For his part, the Governor of the Bank of Japan, Kazuo Ueda, said on Wednesday that ETF purchases by the Bank of Japan were helping to prop up consumption and capex. by preventing volatile market movements from damaging public confidence.
After a quiet European session, the price of the gold it rallied in the second half on Tuesday and closed in positive territory, supported by safe-haven flows. XAU/USD is relatively quiet on Wednesday, trading up and down in a tight range around $2,030.
He Bitcoin struggled to find direction on Tuesday and closed the day largely unchanged above $27,500. BTC/USD remains under modest bearish pressure in the European morning. He ethereum it posted small losses on Tuesday and continues to trade within a pass of $1,800 as of early Wednesday.
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.
