Ella 
The U.S. dollar index challenged the 104.00 support level in an environment where U.S. Treasury yields fluctuated slightly and the risk environment remained. In the United States, Thursday will release the customary number of initial jobless claims in the United States last week, wholesale inventories, and a speech by Federal Reserve Chairman Barkin (Richmond Fed).
EUR/USD is bullish for the second consecutive session and is heading back towards the 1.0780 area amid continued risk appetite and a slightly hawkish speech from ECB Schnabel.
GBP/USD extended its gains on Tuesday, breaking above 1.2600, mainly due to the continued decline of the US dollar. On Thursday, Bank of England Governor Dhingra will speak.
USD/JPY regained some composure on Wednesday, rising above the 148.00 mark, taking some support from a small late rebound in U.S. Treasury yields. In Japan, Economic Observer Survey data will be released on Thursday, followed by bank loan data and weekly foreign bond investment results.
The Australian dollar was an outlier in a market dominated by risk sentiment, edging lower to a low of 0.6500 late in the session as selling pressure on copper and iron ore failed to ease.
In China, the focus will be on January inflation and producer price data. USD/CNH posted solid gains, reclaiming the 7.2000 area, partially reversing Tuesday’s losses.
The Energy Information Administration’s weekly report showed unexpected declines in gasoline and distillate inventories, supporting another positive performance in WTI oil prices, which successfully exceeded the $74.00 per barrel mark.
Gold prices were barely holding above $2,030 at Wednesday’s close, while silver prices fell back to a fresh two-week low near $22.20.
