Silver (XAG/USD) accelerates its reversal in the early European session on Tuesday, trading at $84.80 at the time of writing, after rejection at two-month highs right above $87.00 earlier in the day.
Switzerland Producer and Import Prices (YoY) rose from previous -2.7% to -2% in April
MUFG’s Lloyd Chan flags India’s April Consumer Price Index (CPI) release as a key risk for the Indian Rupee (INR), with higher energy prices and a softer currency building inflation tailwinds.
Switzerland Producer and Import Prices (MoM) came in at 0.8%, above forecasts (0.1%) in April
TD Securities economists diverge from consensus by expecting the European Central Bank (ECB) to hold rates in June. They stress the absence of clear second-round effects, anchored inflation expectations, and softening confidence and growth.
The GBP/USD pair is down 0.3% to near 1.3570 during the European trading session on Tuesday. The Cable faces selling pressure as the US Dollar (USD) outperforms its peers due to a risk-off market mood.
The EUR/GBP cross gains traction near 0.8665 during the early European session on Tuesday. The British Pound (GBP) weakens against the Euro (EUR) amid political instability in the United Kingdom (UK). Traders brace for the ZEW surveys from Germany and the Eurozone, which are due later on Tuesday.
United States (US) Treasury Secretary Scott Bessent confirmed through a post on X, formerly known as Twitter, that the US and Japan took some actions together against excessive volatility in currency markets.
Commerzbank analysts note the US Dollar Index (DXY) inched up to 97.96 as markets consolidated and prepared for United States (US) Consumer Price Index (CPI).
UOB strategists Quek Ser Leang and Lee Sue Ann note AUD/USD gapped down to 0.7205 before rebounding to close near 0.7250, with intraday risks skewed toward a retest of 0.7220 while 0.7205 is expected to hold. Over 1–3 weeks, they see scope for the pair to edge higher but capped below 0.7280.
Germany Consumer Price Index (MoM) in line with forecasts (0.6%) in April
Germany Harmonized Index of Consumer Prices (YoY) meets expectations (2.9%) in April
