EUR/USD is trading at 1.04482, 0.11% up since previous day close. The soft USD post Fed meeting wherein an interest rate was hiked by 75bps leading to the range of 1.50% to 1.75% in order to aggressively tame down the inflation rate led some buying in other currencies. The ECB’s chances raising interest rate in the next meeting led a weakness in global currencies. On data front, the Euro-zone Industrial Production grew by just 0.4% lower than expectation 0.5% & the Trade Balance deficit dropped to 31.7B from 17.8B in the previous month. As seen in the chart, the EUR/USD reversed upside after forming double bottom; wherein previous low acts as a major support level. Buying on corrective dips may be recommended for the day in EUR/USD.

Coffee is trading at $228.52, 0.18% up since previous day close. The agric-commodities like Coffee & Soybean surged higher on Thursday against softer USD as they are inversely correlated. The FOMC raised interest rate by 75bps higher than expectation to curtail inflation rate which boosted the market sentiments. An easing down of lockdown restrictions in few Chinese cities led buying side in commodities. Besides this, unfavorable climatic conditions in Brazil lowered down the Coffee production which pushed up the price in turn. As seen in the chart, the Coffee took a key support of long term MA (200) & hence, buying on lower levels may be suggested for the short to medium term.

UK100 is trading at 7296, 0.03% up since previous day close. The aggressive Fed’s monetary decision of rising interest rate by 75bps against the expectation of 50bps led buying in overall market zone. Also, the traders will be eyeing Bank of England (BoE) meeting today with a hope of rate hike by 25bps. This will remain vital for Pound & UK100. Last week, the U.S issued poor CPI data showcasing a rise in inflation rate by 1.00% higher than expectation which created downward momentum in indices. Globally, easing down of lockdown restrictions in China strengthens pushes up the global shares to some extent. As seen in the chart, the index is hovering within the consolidation phase & hence, either side breakout can be expected for the day.