On Tuesday, The Greenback settled high vs. its major peers, continuing its rebound from last week’s three-year declines, but the expectations remained clouded by worries over the outlook for the U.S. fiscal deficit.
The single currency fell by 0.45%, to settle at $1.2351, negatively affected by a strong U.S. dollar. On the release front, traders are awaiting German ZEW Survey Expectations and Euro-Zone ZEW Survey.
The Sterling pound rose slightly by 0.01%, to settle at $1.4000.
Against the JPY, the USD rose by 0.55%, to settle at ¥107.18, as traders are awaiting Fed Minutes. No major reports are due from Japan today.
Early on Tuesday, Gold prices continued to decline, negatively affected by the Greenback’s ongoing strength and reduced demand for safe-haven assets. Looking ahead, market players are awaiting the minutes of the Federal Reserve's latest policy meeting, due on Wednesday, for cues on the outlook for U.S. monetary policy and interest rate hike. Gold Futures - Apr 18 (GCJ8), fell by 1.23%, to settle at $1,339.50.
Oil prices gave up some early gains on Tuesday with U.S. crude still carrying momentum from Friday's gains due to a holiday on Monday while international Brent prices declined. Crude Oil WTI Futures - Mar 18 (CLH8) rose as much as 0.88%, to settle at $62.09, and Brent Oil Futures - Apr 18 (LCOJ8) was down by 0.59% at $65.28.
The most important economic events:
The prices and news mentioned in this outlook are absolutely no guarantee of future market performance and do not represent the view of ICM Capital Limited. Financial markets can move in either direction causing profits to be made or complete losses to be incurred by the trader. Each trader must decide for themselves what their risk appetite is and ensure that correct risk management procedures are in place before placing any trades.