How did dollar, euro gold and Bitcoin trade at the start of the day?

Developments in the U.S. bond markets and the weakening of dovish expectations for the Fed negatively affect cryptocurrency prices

Markets fluctuated under the week’s intense data agenda. The DXY index, which shows the value of the dollar, increased throughout the week and reached above the 103 mark on the last trading day of the week.

The appreciation of the dollar in global markets caused exchange rates to change and gold prices to be suppressed.

While Brent oil followed a fluctuating course due to the Red Sea crisis, the cryptocurrency market declined due to profit sales following the spot Bitcoin ETF.

HOW MUCH IS THE DOLLAR TODAY?

The dollar, which started the week at 30.09, closed at 30.20 on Friday. The weekly rise came after the Central Bank data and developments in global markets. Currently, the dollar is trading at 30.1958 on the buying side and 30.2053 on the selling side.

Recalling that the data announced in the U.S. since the beginning of the year has supported inflation, analysts said that this indicates that the Fed will not be in a hurry to reduce interest rates.

Data and sales in the bond market increased the value of the dollar.

Following the estimates that the Fed will start reducing interest rates in March decreased to 47% while pricing for an interest rate cut has decreased by approximately 30 basis points since last week.

Growth data to be announced in the U.S. in the new week is expected to affect the markets.

EURO IS WAITING FOR ECB’S INTEREST RATE DECISION

In the eurozone, markets focused on the interest rate decision of the European Central Bank (ECB) in the new week.

The euro, which started the week at TL 32.94, dropped to TL 32.77 on Tuesday. The euro recovered later and closed the week by rising to TL 32.94. Currently, the euro finds buyers at 32.9256 on the buying side and TL 32.9450 on the selling side.

While the Consumer Price Index (CPI) in the Eurozone increased in line with expectations with an annual rate of 2.9% in December 2023, it exceeded expectations with an increase of 4% in the U.K.

Although the expectation in the markets that the ECB would make its first interest rate cut in April after inflation data has weakened relatively, it maintained its strong stance.

The Bank of England (BoE) is expected to start interest rate cuts in June.

Based on the pricing in the money markets, it is certain that the ECB will keep interest rates constant at its meeting next week, according to analysts.

Next week, the consumer confidence index in the Eurozone on Tuesday, the manufacturing industry PMI in Germany and the Eurozone on Wednesday, the ECB’s interest rate decision and the speech of ECB President Lagarde on Thursday will be followed.

GOLD PRICES DECREASED

Rising bond interest rates and a strengthening dollar led to increased selling pressure on the ounce price of gold, and the ounce price of gold finished last week with a 1% decrease at $2,029.

The ounce started the week at $ 2,054 and fell to $2,006 on Wednesday following the developments.

Due to the depreciation in TL, losses in grams, quarters and republic gold were less. Gram gold did not start the week at TL 1,988. Following the depreciation in gold ounces, it decreased to TL 1,943. On Friday, it increased and closed at TL 1,969.

Quarter and republic gold followed a similar price movement. Quarter gold is currently traded at TL  358 on the buying side and TL 445  on the selling side. Cumhuriyet, on the other hand, has a purchase price of TL 6,715 and a sales price of TL 6,848.

BITCOIN PRICE FALLS HARD

Bitcoin, which rose from $42,000 to $49,000 after the U.S. Securities and Exchange Commission approved the spot Bitcoin Exchange Traded Funds (ETF) last week, then fell to $42,000 with profit sales.

Developments in the U.S. bond markets and the weakening of dovish expectations for the Fed negatively affected cryptocurrency prices.

Bitcoin, which fell below the level of  $42,000 which it had maintained for a long time, on Friday, fell to $40,000.

The flagship cryptocurrency, which later recovered slightly, is currently trending horizontally at $41,597.

BRENT OIL IS WAVY

Oil prices are fluctuating, affected by the crisis in the Red Sea. Brent oil, which started the week at $77.36, dropped to $75.81 on Wednesday. Oil, which reached the level of $78.61 on Friday, closed the week at $ 77.75.

Source: Newsroom