The US dollar is broadly steady this morning, with markets reluctant to take sizeable positions ahead of today’s US CPI release. Gold has returned to the $4,400 area, extending its strong recovery from recent sessions. EURUSD is trading around 1.15400, with little directional conviction ahead of the US inflation figures. Bitcoin slipped towards $63,600 this morning, showing renewed weakness after failing to establish a stronger recovery.
- The inflation figures should provide another important clue as to how the Fed may approach its September rate decision.
- XAUUSD is approaching recent highs, meaning buyers now need to prove that the upward momentum still has room to run.
- Prior to the CPI release, EURUSD is likely to remain within a relatively narrow range.
- Monday’s US spot Bitcoin ETFs also recorded around $145 million in net outflows, adding another negative signal to the asset.
FX Snapshot:
XAUUSD
The bias remains bullish, but $4,400 is a key test: today’s CPI could either confirm the move or send gold sharply lower.
EURUSD
For now, 1.15400 is an area of consolidation rather than a signal — the real direction should become clearer after US inflation.
BTC
BTC is now driven not only by its own technical structure, but also by broader risk sentiment ahead of CPI.
Market sentiment
The market enters the session in a cautious mode with light positioning and low volatility. But the picture would change radically once CPI is released. Today’s inflation print should provide an important part of the answer to September’s key question: how restrictive will the Fed need to remain?
