European stocks pullback after Lagarde's speech
Markets on mute ahead of the US NFP data tomorrow
USD/JPY rises as safe haven demand lingers
Gold prices flat ahead of NFP above $2000.
European stocks witness slight pullback, with Lagarde's speech pulling the DAX lower
The Yen rises against the dollar
The Japanese yen has been experiencing a noteworthy rise against the dollar. With the pair trading today near $131.28 as safe haven demand rises amid renewed recession fears. Despite mixed risky appetite in the market.
Yesterday's data from ADP on negative private sector employment data indicated that the US economy created 145,000 jobs in March, compared to the previous reading of 261,000 jobs in February. Improving opportunity scope for other majors against the USD, as now the Fed could ease monetary policy aggressiveness.
In light of this, the negative data that has cast a shadow over the dollar's movements this week, data from ISM indicated a slowdown in the activity of the US service sector, recording 51.2 points in March compared to the previous reading of 55.1 points in February.
Gold prices muted ahead of the NFP
Amid rising safe haven demand as previously stated, the precious metal has also been shining in comparison to the stock market on alert ahead of the NFP data, with Gold remaining intact above $2000, with special due to negative economic indicators that have reflected weakness in the US economy.
Although the yellow metal has been witnessing a slight pullback this afternoon ahead of the major labor market data tomorrow. After breaking the $2000 barrier near $2,030 during yesterday's trading, gold prices seem to be flat ahead of the news.
Lagarde's speech pulls the DAX lower
Germany's DAX started trading today with a slight decline, trading near 15,544 points reversing its uptrend on the daily time-frame, while the FTSE 100 drops to trade near 7,665 points.
Largarde's speech yesterday has also impacted markets as she stated that although tightening monetary policy has begun to bear fruit, underlying inflation remains too high. Adding more to recession fears.