Sterling edges down after weak data
Sterling fell against most major rivals on Friday following forecast-missing data.
UK GDP growth shrank 0.1% in January, missing estimates of a 0.1% rise.
GBP/USD fell 0.2% today as of 20:16 GMT to $1.2932.
Aussie
The Australian dollar rose 0.7% against its US counterpart as of 20:17 GMT to 0.6327.
US Dollar
The dollar index fell 0.1% as of 19:54 GMT to 103.7, with a session-high at 104.09, and a low at 103.5.
Earlier data from the Michigan University showed the US consumer confidence index fell 10.5% in March to 57.9, down from 64.7 in February.
Senate Democratic leader Chuck Schumer said on Thursday he’ll vote in favor of a temporary finance bill, with the Democratic Party providing the necessary votes to avoid a government shutdown.
Sentiment was boosted after US President Donald Trump’s assertions about a strong chance for a Ukraine-Russia ceasefire following “constructive discussions” with Russian President Vladimir Putin.
Gold stuns with a surge above $3000 for first time in history
Gold prices rose on Friday to fresh record highs with the precious metal surpassing $3000 for the first time ever.
It comes amid growing geopolitical tensions and high demand from central banks, with China increasing its gold reserves for the fourth straight month in February.
Earlier data from the Michigan University showed the US consumer confidence index fell 10.5% in March to 57.9, down from 64.7 in February.
Senate Democratic leader Chuck Schumer said on Thursday he’ll vote in favor of a temporary finance bill, with the Democratic Party providing the necessary votes to avoid a government shutdown.
Sentiment was boosted after US President Donald Trump’s assertions about a strong chance for a Ukraine-Russia ceasefire following “constructive discussions” with Russian President Vladimir Putin.
Otherwise, the dollar index fell 0.1% as of 19:54 GMT to 103.7, with a session-high at 104.09, and a low at 103.5.
On trading, gold April futures rose 0.4%, or $9.8 to $3001 an ounce, a record high, with a weekly profit of 3%.
Wall Street climbs, Dow Jones rallies over 500 points
US stock indices rose on Friday as optimism returned to the markets as the government might just avoid a shutdown.
Senate Democratic leader Chuck Schumer said on Thursday he’ll vote in favor of a temporary finance bill, with the Democratic Party providing the necessary votes to avoid a government shutdown.
Wall Street also received support from US President Donald Trump’s assertions about a strong chance for a Ukraine-Russia ceasefire following “constructive discussions” with Russian President Vladimir Putin.
On trading, Dow Jones rose 1.4% as of 15:55 GMT to 41,401 points, while S&P 500 rose 1.8%, or 103 points to 5624 points, while NASDAQ added 2.3% to 17,703 points.
US dollar on track for fresh weekly loss
The US dollar fell in European trade on Friday against a basket of major rivals, resuming losses and approaching five-month lows, and on track for the second weekly loss in a row.
The losses are due to concerns about a potential US recession due to mounting trade tensions, while US inflation slowed down, boosting the odds of a Fed rate cut in June.
The Index
The dollar index fell 0.25% today to 103.57, with a session-high at 104.09.
On Thursday, the index dropped 0.25% to 103.57, with a session-high at 104.09.
On Thursday, the index rose 0.25% away from five-month lows at 103.22..
Weekly Trades
The dollar index is down 0.5% so far this week on track for the second weekly loss in a row.
Recession Concerns
Investors are worried about slower US growth after aggressive tariffs on major trade partners, while recent labor data and government layoffs raised more concerns.
US Treasury Secretary Scott Bessent said the economy might slow down as it shifts from government spending to private investments, and reaches a more sustainable balance.
He believes that some tariff levels will always be necessary to fix some economic imbalances around the world and secure more stable supply chains.
President Trump said during a Fox News interview that the US is undergoing a transition phase, with return of wealth to the US through trade and economic policies, including tariffs to boost local industry.
US Rates
Recent data showed US consumer prices slowed down more than expected, bolstering the odds of a Fed rate cut in the summer.
According to the Fedwatch tool, the odds of a Fed 0.25% rate cut in March stood at just 3%.
However, the odds of such a cut in June are much higher at 80%.