The euro recovered slightly on Wednesday by breaking a five-day losing streak despite persistent U.S. tariff threats and elevated inflation risks. EUR/USD traded near 1.1610, supported by cautious market sentiment ahead of key U.S. data releases.
The dollar remained firm after June CPI rose 2.7% YoY, fueling expectations of prolonged high interest rates. Meanwhile, President Trump notified 25 nations of new tariffs starting August 1, adding pressure to global trade talks. Gold and silver advanced as investors sought safe-haven assets, while the yen slid to a three-month low and the pound struggled below 1.3400 amid BoE rate cut expectations.
| Time | Cur. | Event | Forecast | Previous |
| 06:00 | GBP | CPI (YoY) (Jun) | 3.4% | 3.4% |
| 12:30 | USD | PPI (MoM) (Jun) | 0.2% | 0.1% |
| 14:30 | USD | Crude Oil Inventories | - | 7.070M |
The EUR/USD pair broke its five-day losing streak, trading around 1.1610 on Wednesday. The euro edged higher despite a stable dollar, with markets cautious ahead of the U.S. PPI, the Fed’s Beige Book, and industrial production data. U.S. CPI rose 2.7% YoY in June, while core CPI came in at 2.9%, below the 3.0% forecast but still above the Fed’s 2% target, raising concerns of prolonged high rates. Tariff tensions persist as Trump notified 25 countries, including Canada, Mexico, and the EU, of new tariffs starting August 1. He also plans 10%+ tariffs on some African and Caribbean nations but remains open to talks.
The 30% EU tariff threat has alarmed the ECB, prompting a more cautious outlook for next week’s policy meeting, though rates are expected to stay on hold. EU officials confirmed ongoing negotiations but are preparing a retaliatory package targeting €72 billion in U.S. goods, including aircraft and alcohol.
Resistance for the pair is at 1.1670, while support is at 1.1600.
| R1: 1.1670 | S1: 1.1600 |
| R2: 1.1700 | S2: 1.1540 |
| R3: 1.1750 | S3: 1.1500 |
The Japanese yen weakened to approximately 149 per dollar on Wednesday, marking its lowest level since April. The decline followed a stronger U.S. dollar, supported by inflation data that reduced market expectations for near-term Federal Reserve rate cuts. In Japan, business sentiment among manufacturers showed modest improvement in July, aided by a recovery in the semiconductor industry.
Resistance is at 147.75, with major support at 146.15.
| R1: 147.75 | S1: 146.15 |
| R2: 148.30 | S2: 145.30 |
| R3: 149.30 | S3: 144.65 |
Gold rose to around $3,330 per ounce on Wednesday, recovering from a two-day decline as investors responded to higher U.S. inflation and persistent trade tensions. The June Consumer Price Index posted its sharpest rise in five months, suggesting tariff-related price pressures. Despite President Trump’s calls for rate cuts, Federal Reserve officials maintained a cautious stance, citing ongoing inflation risks.
Resistance is at $3,370, while support holds at $3,325.
| R1: 3370 | S1: 3325 |
| R2: 3400 | S2: 3295 |
| R3: 3430 | S3: 3250 |
The GBP/USD pair edged higher during Wednesday’s Asian session but remained below 1.3400, near a three-and-a-half-week low, with the downtrend intact.
The US Dollar held firm after hitting its strongest level since June 23, supported by fading Fed rate cut expectations due to Trump’s tariffs and higher inflation risks. Tuesday’s CPI data and hawkish FOMC remarks reinforced the view of prolonged high rates. Weak equity markets also lifted the dollar.
The British Pound stayed under pressure as markets anticipate a BoE rate cut in August. Traders remain cautious ahead of today’s UK CPI and US PPI releases.
Resistance is at 1.3500, while support holds at 1.3380.
| R1: 1.3500 | S1: 1.3380 |
| R2: 1.3550 | S2: 1.3270 |
| R3: 1.3630 | S3: 1.3140 |
Silver trades around $37.80 on Wednesday, rebounding after two days of losses as global tariff tensions increase safe-haven demand. Trump notified 25 countries, including Canada, Mexico, and the EU, of new tariffs starting August 1, with smaller nations potentially facing tariffs over 10%.
However, Silver faces pressure from persistent inflation risks. June U.S. CPI rose 2.7% YoY and core CPI reached 2.9%, reinforcing expectations of prolonged high rates that weigh on non-yielding assets like Silver.
A stronger dollar also adds pressure, with the DXY steady at 98.50. Markets now await U.S. PPI, the Fed Beige Book, and industrial output data.
Key resistance is at 38.50; support is at 37.20.
| R1: 38.50 | S1: 37.20 |
| R2: 39.50 | S2: 36.85 |
| R3: 40.10 | S3: 35.50 |
Traders await Trump-Putin talks, US CPI data, and central bank signals, with major currencies, gold, and silver seeing measured moves.
Detail Peace Prospects and Fed Policy Keep Markets Steady (08.11.2025)The euro rose to 1.1660 on optimism over potential Ukraine-Russia peace talks, while the yen held steady as the Bank of Japan signaled room for further hikes. Gold slipped on easing geopolitical tensions, though trade concerns and Fed cut expectations capped losses.
Markets Await Key Inflation and Policy Data (11-15 August)U.S. 10-year Treasury yields rose for a fourth consecutive session to 4.27% on Friday, rebounding from a three-month low. The move followed weak U.S. data, newly announced gold tariffs, and President Trump’s nomination of Stephen Miran to the Fed, which fueled concerns about a politicized central bank. Waning demand at recent bond auctions and rising expectations for rate cuts also influenced markets. Investors now look ahead to next week’s CPI release for policy signals.
DetailThen Join Our Telegram Channel and Subscribe Our Trading Signals Newsletter for Free!
Join Us On Telegram!
