US stocks posted strong gains on Thursday as all three major US indexes closed higher boosted by companies’ strong financial results.
The Nasdaq climbed 2.43%, while the Dow and S&P500 registered their best day since January by adding 1.57% and 1.96% respectively. In the meantime, Gold extended its decline reaching the 1975 support on the back of a stronger Dollar.
The probability of a 25 bps rate hike by the FED for May 3rd is 81%. The upcoming FED rate decision due next week will be a strong catalyst for future price action.
Looking now at the key economic releases for the day. In the US, the Core PCE price index is likely to remain unchanged at 0.3%. However, personal income is expected to have declined from 0.3% down to 0.2%.
In Canada, analysts expect a slowdown in the economy as forecasts are pointing to a lower GDP reading.
Below, we will be analyzing the latest price action developments in the major currency pairs alongside gold.