Forex Signals Brief May 16: Inflation Eases Sparking Fed Cut Bets, Gold Price Soars
Markets responded to a wave of data with diverging moves across bonds, currencies, commodities, and crypto, as soft U.S. PPI inflation boost
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Last updated: Wednesday, June 4, 2025
Quick overview
- Markets reacted to mixed economic data, with softer U.S. PPI inflation raising expectations for Federal Reserve rate cuts.
- The U.S. dollar strengthened despite falling yields, indicating a disconnect between currency movements and bond market behavior.
- The Canadian dollar gained due to rising oil prices, while gold prices experienced significant volatility amid shifting risk appetites.
- Bitcoin surged above $103,850, driven by positive sentiment regarding trade relations, contrasting with gold's recent decline.
Markets responded to a wave of data with diverging moves across bonds, currencies, commodities, and crypto, as soft U.S. PPI inflation boosted rate cut hopes and investor sentiment tilted cautiously toward risk.
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Skerdian Meta
Lead Analyst
Skerdian Meta Lead Analyst.
Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.
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