Forex Market Report, 25th of March 2019

The U.S. Dollar closed Friday’s session higher following a rebound in U.S. home sales, but gains were limited by a sharp increase in the yen as the U.S. government bond yields dropped amid fears of slowing growth.

According to analysts, the rebound in home sales was somewhat supported by the drop-in mortgage rates due to the Fed's ongoing pause on monetary policy tightening.

The U.S. Dollar Index which measures the strength of Greenback against a basket of six major currencies rose by 0.3 percent to finish the session at 96.1.

Over in Europe, the single currency fell on Friday against the U.S. Dollar by 0.63 percent on poor Euro-Zone data, as German Manufacturing Purchasing Managers' Index crashed to 44.7 and French data was weak as well with Manufacturing PMI and Services PMI both having PMIs below 50. EURUSD closed the session at 1.13016.

Meanwhile, the Sterling rose against the Greenback aided by a weaker euro and after EU leaders gave the U.K. Prime Minister Theresa May a two-week delay to decide how Britain will leave the European Union. GBPUSD closed the session at 1.32068.

Regarding Safe-havens, the Swiss Franc fell slightly against the U.S. Dollar to close Friday’s session at 0.99340 USDCHF. On the other hand, the Japanese Yen climbed against the Greenback on Friday to settle at 109.910 USDJPY.

Gold prices rose on Friday to settle at 1313.15 as weak economic data from the euro-zone increased fears of a global economic slowdown, weighing on risk sentiment and putting the precious metal on track for its best week in almost two months.

Meanwhile, the Canadian Dollar fell against the U.S. Dollar on Friday, as the greenback surged and data supported the view of a global economic slowdown that rules out further Bank of Canada interest rate rise in the near term. The USDCAD closed the session at 1.34269.

Over in Asia, the Aussie Dollar fell against stronger U.S. Dollar to end Friday’s session at 0.70785.

Cryptocurrencies finished Friday’s session in the green territories. Bitcoin, Litecoin, and Ethereum rose against the U.S. Dollar to close at 3959.4 BTCUSD, 56.49 LTCUSD, and 136.2 ETHUSD respectively.

The information contained in this publication is not intended as an offer or solicitation for the purchase or sale of any financial instrument. Any opinion offered herein reflects current judgment and may change without notice. Users acknowledge and agree to the fact that, by its very nature, any investment in shares, stock options and similar and assimilated products is characterized by a certain degree of uncertainty and that, consequently, any investment of this nature involves risks for which the user is solely responsible and liable.