From Yahoo Finance: 2025-06-18 10:31:00

The dollar index is down -0.21% today ahead of the 2-day FOMC meeting, with expectations of unchanged interest rates. US weekly initial unemployment claims fell -5,000 to 245,000. May housing starts and building permits reported weaker-than-expected numbers, influencing the dollar’s performance.

EUR/USD is up +0.29% due to dollar weakness, limited by ECB member Panetta’s dovish remarks on economic risks. Swaps show a 6% probability of a -25 bp rate cut by the ECB in July. USD/JPY is down -0.29% as the yen gains on safe-haven buying amid geopolitical risks.

Japan’s Apr core machine orders fell less than expected at -9.1% m/m. Mixed trade news showed a smaller decline in May exports at -1.7% y/y but a bigger drop in imports at -7.7% y/y, the largest in 16 months. Precious metals are slightly lower, influenced by the FOMC’s expected unchanged rates and weak US housing reports.

Lower global bond yields and a weaker dollar are limiting precious metals losses. Geopolitical risks in the Middle East and global trade uncertainty are boosting safe-haven demand. Gold is supported as an inflation hedge, while fund buying of silver continues to drive prices higher.

Read more: Dollar Slips Ahead of FOMC Meeting Results