The market remains quite volatile at the beginning of European trading on Monday (April 14, 2025). With no significant economic data released, attention is focused on the dynamics of import tariffs. As mentioned in the previous Macro Overview, U.S. President Donald Trump announced on Friday night that he would delay the increase of import tariffs on electronic products from all nations.
On Sunday, he further clarified that specific tariffs would be applied to electronic goods. This latest development regarding import tariff policies is expected to influence market movements in tonight’s trading session.
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GOLD
Gold prices (XAUUSD) exhibited volatility this morning but reversed to a decline, trading at $3,206.25 per troy ounce at the start of European trading. This drop was a result of profit-taking after reaching a record high of approximately $3,245 per troy ounce earlier.
If there are no significant updates regarding the tariff policies, the potential for profit-taking in gold could continue during tonight’s trading.
OIL
Oil prices (CLS10) rose during the early European trading session, hitting a daily high of $62.50 per barrel after initially dropping to $61.06 per barrel earlier in the day.
The increase in oil prices suggests that there is growing optimism in the market about a potential easing of trade tensions between the United States and China following Trump’s decision to postpone the increase in electronic product tariffs.
This sentiment is likely to continue affecting oil price movements during tonight’s trading.
EURUSD
The EURUSD pair has maintained its strength and is hovering close to the daily high of 1.14246. Trump’s postponement of reciprocal policies towards all countries except China led to a surge in the EURUSD pair on Thursday and Friday last week.
Moreover, the delay in increasing tariffs on electronic goods has further bolstered positive sentiment for EURUSD.
GBPUSD
GBPUSD continued to climb during the early trading session in Europe, reaching a daily high of 1.31997. Compared to Friday’s closing price, GBPUSD has gained 1.115 points (111.5 pips).
As noted earlier, GBPUSD benefited from the delay in reciprocal policies. Additionally, the U.S. dollar is under pressure due to predictions that the Federal Reserve will cut interest rates more rapidly, providing an advantage to GBPUSD.
This sentiment will likely influence GBPUSD movements in tonight’s trading.
USDJPY
USDJPY showed volatility in the early European trading session, having dropped to 142.230 earlier today. Compared to Friday’s closing, USDJPY has decreased by 1.250 points (125 pips), nearing the lowest level since late September 2024.
Slowing inflation in the United States has led market participants to anticipate that the Federal Reserve may cut interest rates more aggressively this year. This is expected to continue exerting pressure on USDJPY during tonight’s trading session.
Nasdaq
The Nasdaq has managed to maintain its upward trajectory, trading close to the daily high of 19,179 at the start of European trading. This positive sentiment for Nasdaq comes following Trump’s decision to delay reciprocal tariffs last week.
Additionally, the postponement of tariffs on electronic products by Trump has further enriched this positive sentiment.
