FX markets is quieter these days thanks to little movement in US Treasury yields, but that does not mean that important shifts are not occurring beneath the surface of global financial markets.
Inflation fears are pervasive, and the ongoing manifestation of concerns over eroding purchasing power has breathed life into the notion that anything ‘digital’ or ‘technology’ related is overvalued, from the NAS Comp to Bitcoin.
The .DXY bounced off a near 3-month low, while benchmark US Treasury yields rose to a 1-week high after the FOMC mins.
The Dollar Index is trading on the lower side with US 10-yr Treasury yield is under 1.65 marks.
If today’s US Data i.e., Manufacturing index and jobless claim show positive signs then, gold may see some range bound moment in short term. If not look for higer prices in the precious Yellow metal.
Have a healthy day, Keep the Faith!