Gold (XAU/USD) extends its advance on Friday as expectations build for further monetary policy easing by the Federal Reserve (Fed) after this week’s interest rate cut. At the time of writing, XAU/USD is trading around $4,340, just shy of its all-time high near $4,381, marked on October 20.

Federal Reserve (Fed) Bank of Philadelphia President Anna Paulson said that the rate cuts have ‘taken out some insurance’ against job market risks and that the current Fed policy, ‘somewhat restrictive,’ should moderate inflation at the Delaware State Chamber of Commerce, in Wilmington, on Friday.

The Canadian Dollar (CAD) remains bid against the US Dollar (USD) on Friday, even as the Greenback stages a modest rebound, while markets continue to digest this week’s monetary policy decisions from the Bank of Canada (BoC) and the Federal Reserve (Fed).

Germany Current Account n.s.a. dipped from previous €18.6B to €14.8B in October

Canada Wholesale Sales (MoM) registered at 0.1% above expectations (-0.1%) in October

Canada Building Permits (MoM) above forecasts (-1.2%) in October: Actual (14.9%)

Canada Capacity Utilization below expectations (79.3%) in 3Q: Actual (78.5%)

Federal Reserve (Fed) Bank of Chicago President Austan Goolsbee said on Friday that waiting would have provided the benefit of the updated economic data, and most data show stable economic growth, with the labor market only moderately cooling.

EUR/GBP trades without a clear direction on Friday, hovering around 0.8760 at the time of writing, with the pair remaining stable despite contrasting macroeconomic developments between the Eurozone and the United Kingdom.

Russia Foreign Trade dipped from previous $13.595B to $11.143B in October

EUR/USD is going through a moderate correction, trading at levels near 1.1720 on Friday after pulling back from more than two-and-a-half months' highs at 1.1762.

USD/JPY trades offered but lacks follow-through, as markets near full pricing of a 25bps BOJ hike on 19 December. Near-term support lies at 155.10–153.90, while any meaningful JPY recovery would require stronger guidance from the BOJ, fiscal prudence, and a softer USD.

USD recovered some of yesterday’s losses and trading close to the middle of its range in place since June. The MSCI All Country World Index rallied to a record high yesterday underpinned by Fed easing and resilient global economic activity.

United Kingdom NIESR GDP Estimate (3M): -0.1% (November) vs previous 0%

Mexico Industrial Output (YoY) registered at -0.4% above expectations (-2.4%) in October

The USD/JPY pair snaps a two-day losing streak and rebounds to near 156.00 during the European trading session on Friday.

Following the Federal Open Market Committee (FOMC) meeting, the US Dollar (USD) softened broadly while risk proxies, non-USD currencies, precious metals, and even crypto assets saw constructive moves. DXY last seen around 98.46 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.

India FX Reserves, USD climbed from previous $686.23B to $687.26B in December 1

India Bank Loan Growth increased to 11.5% in November 24 from previous 11.4%

The Central Bank of Turkey (CBT) surprised markets with a 150bp cut to the policy rate, lowering it to 38% as headline inflation for November came in better than expected, ING's FX analyst Frantisek Taborsky notes.

The US Dollar (USD) continued to slide, pressured by a jump in initial jobless claims to 236k—the largest weekly rise since March 2020—and lingering softness in the labor market, OCBC's FX analysts Frances Cheung and Christopher Wong note.

The Indian Rupee (INR) extends its decline against the US Dollar (USD) on Friday, with the USD/INR pair hitting fresh all-time highs at 90.86.

Silver’s (XAG/USD) appreciates for the fourth consecutive day on Friday, consolidating above the $64.00 level at the time of writing after having posted a fresh record high, at $64.62 earlier on the day.Precious metals remain on a strong footing in a calm market session on Friday, with the US Dollar

The Pound Sterling (GBP) faces selling pressure against its major peers on Friday following the release of the United Kingdom (UK) Gross Domestic Product (GDP) data for October. The GDP report showed that the economic growth contracted again by 0.1%, missing expectations of a 0.1% expansion.

The US Dollar (USD) weakened further after the Fed meeting, with Dollar Index (DXY) closing near 98.00 as rate expectations shifted lower and seasonal pressure added to the bearish tone, ING's FX analyst Frantisek Taborsky notes.

USD/CNH continues to drift lower amid a softer US Dollar (USD) and another strong CNY fix, with the PBoC guiding the RMB along a controlled appreciation path.

The Nasdaq 100 is stabilizing after breaking its descending channel and retaking the 50-DMA, but momentum is capped near the 25,890 gap, Société Générale's FX analysts note.

United Kingdom Consumer Inflation Expectations dipped from previous 3.6% to 3.5%

Recent policy meetings suggest China has moved away from tariff-related emergency response mode. Upgrading and rebalancing gaining importance in the policy agenda to foster self-sustained growth.

Brent is drifting toward October’s $60.10 support, with only limited rebound potential amid persistent failure at the 200-DMA, Société Générale's FX analysts note.