EUR/USD picks up extra pace above the 1.0500 mark.The dollar remains offered at the beginning of the week.The selling bias in the greenback lends oxygen to the risk complex and lifts EUR/USD further north of the 1.0500 mark on Monday.
EUR/USD looks to Lagarde, ECB-speak
EUR/USD shrugs off Friday’s bout of weakness and resumes the recovery following the FOMC-led drop to the sub-1.0400 levels at some point during last week.
Monday’s move higher in spot comes in tandem with further correction in the greenback along with the inactivity in the US markets due to the Juneteenth holiday. In addition, the German 10y bund yields keep the range bound theme intact near the 1.70% yardstick.
What to look for around EUR
EUR/USD keeps the recovery-mode unchanged and manage to regain the area beyond 1.0500 the figure on Monday.The resumption of the buying bias comes in response to the offered note in the US dollar, particularly following last week’s interest rate hike by the Fed.
However, EUR/USD is still far away from exiting the woods and it is expected to remain at the mercy of dollar dynamics, geopolitical concerns and the Fed-ECB divergence, while higher German yields, persistent elevated inflation in the euro area and a decent pace of the economic recovery in the region are also supportive of an improvement in the mood around the euro.
EUR/USD extends gains above 1.0500 ahead of Lagarde’s testimony
EUR/USD is rising towards 1.0550, helped by notable US dollar supply in the European session. The risk tone recovers despite the growing recession and fragmentation fears. The euro erased early losses led by the French election outcome. Lagarde eyed amid light trading.
GBP/USD recaptures 1.2250 as USD retreat picks up steam
GBP/USD is extending gains above 1.2250 after testing the 1.2200 demand area. The US dollar retreats further and offers support to the pair amid better risk sentiment. All eyes remain on UK inflation amid an inevitable recession.
Gold treads water around $1.840 amid sluggish USD, light trading
Gold Price is trading modestly flat around $1,840, reversing the rebound seen in the Asian session. The recovery in risk sentiment is boding ill for the safe-haven US dollar, in turn, capping the downside in the bright metal.