EUR/USD: Strong Buy – Slight Rise, Focused on Eurozone Inflation Statistics and ECB Officials’ Statements
The EUR/USD pair is recovering from a “bearish” trend formed mid-last week and is attempting a breakout at 1.0625. Today’s focus is on Eurozone inflation statistics and statements from representatives of the European Central Bank (ECB). The Eurozone Consumer Price Index (CPI) is expected to have increased by 0.8% monthly and 2.4% annually in March, with the core CPI projected at 2.9%. ECB President Lagarde has expressed a more “dovish” view, mentioning the possibility of a rate cut.
GBP/USD: Strong Buy – Mild Rise Following UK Inflation Statistics
The GBP/USD pair is attempting a breakout at 1.2470. Today, the UK Consumer Price Index (CPI) slowed to an annual rate of 3.2% in March, with a monthly increase of 0.6%. The core CPI dropped to an annual rate of 4.2%. This has increased the likelihood of the Bank of England cutting interest rates.
AUD/USD: Strong Buy – Moderate Rise Amid Australian Labor Market Report
The AUD/USD pair is developing a “bullish” movement formed in the previous session, attempting a breakout at 0.6445. The March Australian labor market report showed an unexpected decrease in employment changes, but full-time employment increased. Remarks by US Federal Reserve Chairman Powell also supported the dollar.
USD/JPY: Neutral – Uncertain Downward Revision Considering the Risk of Bank of Japan Intervention
The USD/JPY pair is attempting a retreat from the resistance level at 154.80 while wary of the possibility of market intervention by the Bank of Japan. Japan’s tertiary industry activity index increased more than expected, but the yen remains weak.
XAU/USD: Strong Buy – Mild Rise, Supported by Rate Cut Expectations and Geopolitical Risks
The Gold/USD pair is recovering from the previous day’s drop due to revisions in expectations for U.S. monetary policy. Gold is supported by rising tensions in the Middle East and expectations of interest rate cuts by major central banks. Today’s focus is on U.S. existing home sales statistics, which are expected to decrease.
