Renewed US dollar weakness across the board was the main underlying theme on the final trading day of this week, as markets looked to unwind following busy sessions filled with key central banks’ events and macro data.
Meanwhile, markets cheered fresh optimism surrounding the Brexit and trade developments. However, escalating Mid-East tensions kept the upbeat mood in check. The Asian stocks posted small gains in tandem with the US futures while Treasury yields witnessed a pullback the helped gold prices to cling onto the recovery gains above $ 1,500 mark.
The Yen benefited from the cautious optimism and upbeat Japanese CPI figures, as USD/JPY dropped to near 107.80 region. Meanwhile, the EUR/USD pair regained the 1.1050 barrier while GBP/USD continued to enjoy the Brexit optimism-sparked upbeat momentum near two-month tops.
The EUR macro calendar for today is a thin-showing, with the German Producer Price Index and Bank of England quarterly bulletin of note. And therefore, the Brexit negotiations between the UK Brexit Secretary Barclay and the European Union Chief Brexit Negotiator Barnier will hog the limelight.
In the NA session Eurozone Consumer Confidence data at 14:00 GMT will be closely eyed amid a slew of speech from the US Federal Reserve officials and ahead of the Baker Hughes US Oil Rigs Count data.
Oil fails to register much momentum as it trades around $58.70 amid initial session on Friday, despite witnessing some key headlines from Iran and Saudi Arabia. Baker Hughes Rig Counts to occupy economic calendar while trade and political news will be the key to watch for fresh impulse.