As Fed independence comes into question, gold doesn't stop
Here's what you need to know on Tuesday, April 22:
"A lot of people are calling for a pre-emptive rate cut. With energy costs falling, food prices (including Biden's egg disaster!) are dramatically lower, and most other 'things' are trending down, with little to no inflation," Trump said on Truth social, adding:
"Because these costs are trending so slowly, as I predicted, they are almost impossible to inflate, but unless Mr. It's too late, a major loser, to lower interest rates, now. Europe has "lowered" seven times.
The U.S. Dollar (USD) index fell about 1% on Monday, while Wall Street's major indexes fell more than 2%. The dollar index was steady below 98.50 early Tuesday, while US stock index futures were in positive territory.
After rising nearly 3% on Monday, gold extended its rally and hit a new record high of $3500 before correcting its low. At the time of publication, XAU / USD was trading around $3,470, up more than 1% per day.
EUR/USD benefited from broad selling pressure around the greenback, hitting multi-year highs above the 1.570 on Monday. During Tuesday's European session, the pair is still in a consolidation phase around 1.1500.
GBP/USD GBP/USD rose for the tenth consecutive trading day on Monday and hit a new high for 2025, higher than 1.3400. On Tuesday, the pair remained relatively quiet during the European session and fluctuated in a narrow channel around 1.3380.
In its quarterly review of regional economic conditions across the country, the Japanese government maintained its overall economic assessment, but warned of increased downside risks due to U.S. trade policy. After falling nearly 1% on Monday, the dollar/yen continued to fall to 140.00, trading at its lowest level since September.
Gold continues to shine as markets become increasingly concerned about the independence of the Federal Reserve (Fed) and the recession due to President Donald Trump's new trade regime. The European Commission will publish preliminary data on consumer confidence for April later in the day. US economic calendar the US economic calendar will not release any high-level data, but investors will pay close attention to the comments of Fed policymakers.
Dollar prices this week
The following table shows the percentage change in the US Dollar (USD) against the listed major currencies for the week. The dollar was weakest against the New Zealand dollar.
| USD | Euro | Pound Sterling | JPY | CAD | AUD | NZD | Swiss Franc | |
|---|---|---|---|---|---|---|---|---|
| USD | -1.00% | -0.65% | -1.36% | -0.29% | -0.61% | -1.37% | -0.91% | |
| Euro | 1.00% | 0.20% | -0.39% | 0.68% | 0.20% | -0.41% | 0.08% | |
| Pound Sterling | 0.65% | -0.20% | -0.39% | 0.49% | -0.00% | -0.59% | -0.13% | |
| JPY | 1.36% | 0.39% | 0.39% | 1.09% | 0.63% | 0.10% | 0.49% | |
| CAD | 0.29% | -0.68% | -0.49% | -1.09% | -0.45% | -1.09% | -0.61% | |
| AUD | 0.61% | -0.20% | 0.00% | -0.63% | 0.45% | -0.59% | -0.13% | |
| NZD | 1.37% | 0.41% | 0.59% | -0.1% | 1.09% | 0.59% | 0.50% | |
| Swiss Franc | 0.91% | -0.08% | 0.13% | -0.49% | 0.61% | 0.13% | -0.50% |
"A lot of people are calling for a pre-emptive rate cut. With energy costs falling, food prices (including Biden's egg disaster!) are dramatically lower, and most other 'things' are trending down, with little to no inflation," Trump said on Truth social, adding:
"Because these costs are trending so slowly, as I predicted, they are almost impossible to inflate, but unless Mr. It's too late, a major loser, to lower interest rates, now. Europe has "lowered" seven times.
The U.S. Dollar (USD) index fell about 1% on Monday, while Wall Street's major indexes fell more than 2%. The dollar index was steady below 98.50 early Tuesday, while US stock index futures were in positive territory.
After rising nearly 3% on Monday, gold extended its rally and hit a new record high of $3500 before correcting its low. At the time of publication, XAU / USD was trading around $3,470, up more than 1% per day.
EUR/USD benefited from broad selling pressure around the greenback, hitting multi-year highs above the 1.570 on Monday. During Tuesday's European session, the pair is still in a consolidation phase around 1.1500.
GBP/USD GBP/USD rose for the tenth consecutive trading day on Monday and hit a new high for 2025, higher than 1.3400. On Tuesday, the pair remained relatively quiet during the European session and fluctuated in a narrow channel around 1.3380.
In its quarterly review of regional economic conditions across the country, the Japanese government maintained its overall economic assessment, but warned of increased downside risks due to U.S. trade policy. After falling nearly 1% on Monday, the dollar/yen continued to fall to 140.00, trading at its lowest level since September.
