EURUSD defends post-US GDP recovery to pare weekly loss, US Core PCE Inflation eyed

Market sentiment remains cautiously optimistic as the recently mixed US data renewed dovish Fed expectations ahead of the US Core PCE Price Index, also known as the Fed’s favorite inflation gauge. Apart from that, the G20 statement suggests a “soft landing” in major economies and China’s readiness for more stimulus, which also challenges the previous risk aversion. However, Tech rout and downbeat yields test the optimists ahead of next week’s top-tier central bank meetings and the US jobs report, not to forget inflation data from Australia.

With this, the US Dollar Index (DXY) remains on the way to posting the weekly loss but fails to help the EURUSD, GBPUSD and Gold prices. That said, WTI Crude Oil also braces for the third consecutive weekly loss and the Antipodeans like AUDUSD, NZDUSD and USDCAD are also down on a weekly basis.

Alternatively, USDJPY and USDCHF justify the Yen (JPY) and the Swiss Franc’s (CHF) traditional haven status while also cheering the US Dollar’s weakness.

BTCUSD and ETHUSD recover from the weekly low but remain on the way to posting the first week-on-week loss in three amid fresh challenges to Donald Trump's Presidency due to Kamala Harris’s entry in the US Presidential race.

Following are the latest moves of the key assets:

• WTI Crude oil extends recovery from a six-week low to pare weekly loss near $78.50 by the press time.
• Gold bounces off a 5.5-month-old support line and the 50-SMA to consolidate the weekly loss near $2,370 as we write.
• The USD Index remains sidelined around 104.30 and fails to portray any major moves on the day, as well as on the week, at the latest.
• Wall Street closed mixed and so did the Asia-Pacific shares. However, equities in Britain and Europe print mild gains during the initial trading hour.
• BTCUSD and ETHUSD both print notable gains to pare weekly loss by rising to $67,100 and $3,270 at the latest.