It looks like the US CPI data yesterday has certainly vindicated the current market outlook on Fed rates. A 25 bps rate hike for May seems to slowly be the growing consensus but then that's about it, as it would seem. Here's what Fed funds futures are saying:
There are a couple of interesting charts in play right now, so let's take a look.
- EUR/USD knocking on the door of the 1.1000 level, in search of an upside break
- Similarly, GBP/USD is sitting near resistance at 1.2500 now and eyeing a break of its own
- USD/CHF falls back under 0.9000 with minor support at 0.8925-30, before 0.8800 comes into play
- EUR/JPY at the highs this year; eyes December highs of 146.60-70, with October highs of 147.75-00 in focus
- Gold is keeping the faith, hoping for a run at the 2020 and 2022 highs around $2,070-75
- Oil seeks an upside break above $83, but faces resistance from its 200-DMA at $83.13 now
- DAX and CAC 40 indices both hoping to solidify a break to fresh highs this year
What are your views on the market right now? Share your thoughts/ideas with the ForexLive community here.
