Following a volatile Wednesday, the US dollar (USD) struggled to hold ground during the European session, with the US Dollar Index dipping toward 100.50, down more than 0.3% on the day. The dollar’s weakness continued amid cautious market sentiment ahead of key US economic data releases later today, including the Producer Price Index (PPI), retail sales, and weekly jobless claims for April. Market participants are also awaiting remarks from Federal Reserve Chair Jerome Powell at the Thomas Laubach Research Conference in Washington, DC.
European Economic Focus
The spotlight in Europe is on the Eurozone’s revised first-quarter GDP growth data, along with upcoming reports on employment changes and March industrial production from Eurostat. Following a slight rebound, the EUR/USD climbed above 1.1200.
UK Economic Data
The UK economy showed solid growth with Q1 GDP up 1.3% quarter-on-quarter, surpassing expectations of 1.2%, although industrial and manufacturing output declined by 0.7% and 0.8% respectively in March. The British pound benefited from this mixed data, with GBP/USD trading positively near 1.3300.
Japanese Yen
The yen continued to face bearish pressure, slipping below 146.00 against the dollar after two days of declines. Investors await Japan’s first-quarter GDP release scheduled for early Asian trading Friday.
Australian Dollar
Australia’s April jobs data came in stronger than expected, with employment rising by +89,000 (market forecast +20,000) and unemployment steady at 4.1%. The AUD/USD pair remained stable, edging up slightly to 0.6450.
Gold
Gold prices extended their decline, dropping below $3,150 per ounce to the lowest level since April 10. The metal is weighed down by easing geopolitical tensions, including positive developments on a potential nuclear deal with Iran and talks of a low-tariff trade deal between India and the US.
Related topics：
