The ongoing uncertainty surrounding US trade policy is casting a shadow over the Euro, creating a risk-off sentiment that weighs heavily on the currency. As the year unfolds, significant market changes are already underway, drawing parallels to the political intrigue of the TV show "House of Cards." The political landscape, influenced by Donald Trump's second term, continues to have a profound impact on global markets and policymakers.
Amidst this turbulence, traders are keeping a close eye on key economic indicators. German Industrial Production data and US Nonfarm Payrolls data are under scrutiny, as their outcomes will likely influence market movements. The EUR/USD pair is currently trading around 1.0375 during the Asian session on Friday, reflecting the subdued USD price action, which favors bullish sentiments.
Meanwhile, the XAU/USD pair is finding support from Fed rate cut bets and depressed US bond yields. These factors are contributing to a favorable environment for gold traders, as they navigate through the uncertain market conditions.
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