U.S. Dollar Is Little Changed As Traders React To Inflation Data
U.S. Dollar Index is mostly flat as traders react to inflation reports for November. Inflation Rate was 2.7%, compared to analyst consensus of 3.1%. Core Inflation Rate was 2.6%, compared to analyst forecast of 3%. The government shutdown had an impact on October price data, so the report did not contain month-over-month data.
In case U.S. Dollar Index manages to settle above the 50 MA at 98.56, it will towards the nearest resistance level at 98.85 – 99.00.
EUR/USD Tests Support At 1.1715 – 1.1730 As Traders React To ECB Decision
EUR/USD pulled back as traders focused on the ECB Interest Rate Decision. The ECB left the rate unchanged at 2.15%, in line with analyst estimates. In addition, ECB officials signaled that current rate cycle could have come to an end.
If EUR/USD manages to settle below the support level at 1.1715 – 1.1730, it will move towards the next support, which is located in the 1.1615 – 1.1630 range.
GBP/USD Moves Higher As BoE Cuts Rates
GBP/USD gained some ground as traders focused on the BoE Interest Rate Decision. The BoE cut the rate from 4% to 3.75%, in line with analyst estimates. Four members voted to leave the rate unchanged, meeting analyst expectations.
A move above the 1.3450 level will lead to the test of the next resistance at 1.3475 – 1.3490.
EUR/USD Price Forecast
Every new EUR/USD analysis as it publishes, today's technical signal and key levels, live price — on one page.
See all EUR/USD forecastsUSD/CAD Pulls Back Amid Rising Demand For Commodity-Related Currencies
USD/CAD is moving lower as traders focus on the continuation of the rally in platinum and palladium markets. Other commodity-related currencies are also gaining ground in today’s trading session.
A move below the 1.3750 level will push USD/CAD towards the support at 1.3720 – 1.3735. In case USD/CAD declines below the 1.3720 level, it will head towards the next support at 1.3670 – 1.3685.
USD/JPY Is Stuck Near The 50 MA At 155.67
USD/JPY is mostly flat despite the pullback in Treasury yields. The lower-than-expected U.S. inflation data did not put material pressure on USD/JPY.
From the technical point of view, USD/JPY needs to settle above the 50 MA at 155.67 to gain additional upside momentum in the near term.
For a look at all of today’s economic events, check out our economic calendar.