The Bank of Japan left policy unchanged while gold fell under $4,000, and the euro wrestles with mixed ECB signals and US data.

Early Friday saw heightened volatility as traders digested central‑bank moves and fresh macro data. The Bank of Japan kept its short‑term rate at 1.25% after a two‑day policy review, while the euro‑dollar pair hovered around 1.1150‑1.1200 after a hawkish tone from ECB President Christine Lagarde. Meanwhile, gold prices slipped below the $4,000 mark, adding to the risk‑off mood.

ECB pause but no policy autopilot

• The ECB left rates unchanged after Thursday’s meeting, a move widely expected.
• Lagarde warned that headline inflation will stay well above target and hinted a possible third hike in December.
• Commerzbank analysts say the real focus now shifts to post‑December developments, especially energy‑price trends.

US growth beats expectations

• Q3 GDP grew at an annualised 3.4%, topping the 3.2% forecast.
• Core PCE price index rose 3.1% YoY in September, matching estimates.
• Nasdaq futures were down about 2% and the US Dollar Index held near 101.80.

What traders are watching next

• Key resistance for EUR/USD near 1.1200 and support at 1.1150.
• USD/JPY may test the 157.00 level if BoJ tone softens.
• Gold traders eye the $4,000 psychological barrier and upcoming US CPI data.

Related news

• BoJ likely to keep raising rates each quarter, says TD Securities
• France's Q3 GDP contracts, adding pressure on ECB policy
• Gold falls near $4,000 as US PCE data boosts December Fed hike odds
• BoJ holds rates as inflation hits 2% target for first time since 2013

More from ITF

• ITF trading signals for gold and forex
• Copy verified traders with ITF Copy Trading
• This week’s economic calendar

This article is compiled from international market news for information only. It is not investment advice.