The most impactful releases of this week will fill the market with volatility and sharp movements. Be ready to take action!
Dutch election outlook buoys common currency
On Thursday, the common currency stood tall after Dutch election exit surveys pointed to a comfortable win by the prime minister over his far-right counterpart, while the greenback wallowed at a one-month minimum after the Fed sounded less hawkish than anticipated on future rate lifts.
The euro managed to surge to a five-week peak of $1.0746, having soared 1.2% overnight.
The common currency was spurred as exit surveys revealed that the Netherlands' center-right Prime Minister Mark Rutte saw off a challenge by anti-EU and anti-Islam Geert Wilders in Wednesday’s election, thus alleviating worries towards Holland opting to break up with the EU.
The dollar index against a basket of key currencies dropped 0.2%, hitting 100.560.
It went down more than 1% yesterday, touching 100.490, its lowest value since February 17.
On Wednesday, the US dollar took a knock after the Fed ended its two-day policy gathering by simply increasing interest rates just as expected, though stuck to projections of three total rate lifts in 2017.
We prepared an outlook of major events of this week. Check it and be ready!
Here you'll find what awaits the market this week, from the CPI release to a possible gold plunge.
The situation on the labor market still looks optimistic. Today we expect the Unemployment rate data. 3.5% is expected.
The first day of June should’ve brought us the US default. Unsurprisingly, the US House passes the debt ceiling bill at the latest possible moment.
About 24% of global central banks intend to increase gold reserves in 2023. Rising inflation, geopolitical turmoil, and worries about interest rates are reasons to increase gold reserves.