USD/CHF edges lower on Friday, retracing all the gains recorded this week as the US Dollar (USD) rally loses momentum following the latest US Personal Consumption Expenditures (PCE) data, which broadly came in line with expectations and showed that underlying inflationary pressures remain relatively
TD Securities’ Head of Commodity Strategy Bart Melek highlights that Gold recently broke below $4,000/oz as higher US rates and a firmer Dollar weigh on the metal.
EMEA FX Strategist Frantisek Taborsky at ING says the Czech National Bank’s (CNB) June minutes confirm it as the most hawkish central bank in the region after its 25bp hike to 3.75%. Markets price another hike as core inflation risks persist.
MUFG’s Lee Hardman notes the US Dollar is set for a second straight week of gains but has lost upward momentum as softer US GDP and PCE data, plus dovish comments from New York Fed President Williams, reverse recent hawkish repricing.
HSBC strategists highlight Singapore’s strong 1Q26 Gross Domestic Product (GDP) growth, driven by robust electronics exports, construction and services, making it one of ASEAN’s fastest-growing economies. Despite the energy shock, inflation remains contained for now.
Commerzbank’s commodity team, led by Barbara Lambrecht, warns that recent declines in Oil prices may prove temporary as tanker traffic through the Strait of Hormuz is only gradually recovering and US inventories sit well below seasonal norms.
United States Goods Trade Balance came in at $-105.8B below forecasts ($-85B) in May
United States Wholesale Inventories above forecasts (0.2%) in May: Actual (0.3%)
OCBC’s FX strategists Sim Moh Siong and Christopher Wong note Gold is tentatively stabilising after a sharp selloff, with prices back above USD4,000 and some dip-buying interest emerging as Dollar and real yield pressures ease.
Silver (XAG/USD) steadies on Friday as the US Dollar (USD) and Treasury yields retreat after the latest US Personal Consumption Expenditures (PCE) inflation data showed underlying inflation remained relatively contained.
Mexico Trade Balance s/a, $ down to $0.638B in May from previous $3.351B
UOB’s Lee Sue Ann notes that Australia’s May labour data show a rebound in headline employment but softer underlying conditions, with rising underemployment and falling hours worked.
