CHF

The US dollar was lower following the FOMC meeting, which has seen gold rise to a 7-day high during Asian trade.

If traders would like to trade DXY, USD/CHF may be a good substitute

US inflation data is the main data point in today’s calendar, but there was a mild risk-on tone across equity and FX markets thanks to US infrastructure bill.

German industrial production kids the day off at 07:00 BST, ahead of the ZEW sentiment report and final GDP and employment reads for the eurozone at 10:00.

Whilst Japan’s rising exports are good for domestic growth (after GDP contracted in Q1) it also points to increased global demand.

Asian equities were mostly higher overnight thanks to a positive lead from Wall Street, after Fed members calmed market nerves of rising inflation, helping equities to snap a three-day losing streak.

Markets were highly correlated on strong inflation data yesterday, sending equities lower and the dollar higher. But will the Fed allow these trends to continue?

If the 2 assets are truly, positively correlated, one may expect that the DXY will bounce soon