Last week, the United States Federal Reserve decided to keep interest rates steady at 4.25%, alongside sharp declines in crude oil inventories, retail sales, and industrial production. Additionally, manufacturing indexes in New York and Philadelphia showed greater-than-expected contraction. In the Eurozone, the consumer price index maintained moderate growth in line with expectations, while the UK recorded a slight increase in inflation alongside a notable drop in retail sales. The Swiss National Bank cut interest rates to zero amid a contraction in producer prices. Australia experienced a loss in employment, while New Zealand saw accelerated GDP growth. In Canada, retail sales posted weak growth. The Bank of Japan maintained its interest rate, with exports and imports contracting and mixed inflation indicators. In China, industrial production and investment growth slowed, retail sales improved, and unemployment declined, with the People’s Bank of China keeping key lending rates unchanged.
Market Analysis
GBP/USD
The GBP/USD pair reached 1.3632 on Friday, June 13, 2025, its highest level since February 21, 2022. The pair has gained approximately 13% from the low of 1.2100 on January 13, 2025, up to the peak on June 13. Currently, the pair is trading near 1.3450 and is up about 7% year-to-date. The Relative Strength Index (RSI) stands at 49, indicating bearish momentum for the GBP/USD pair.
Nike
Nike’s stock has declined about 21% year-to-date. Markets are awaiting Nike’s earnings report on Thursday, June 26, 2025. Analysts expect earnings of $0.11 per share, down from $1.01 previously, and revenues of $10.67 billion, down from $12.60 billion previously. The RSI is currently 45, signaling negative momentum. The MACD indicator shows a bearish crossover between the MACD line (blue) and the signal line (orange), reinforcing the negative momentum.
Gold
Gold prices fell about 1.86% last week, trading sideways over the past two months between $3,200 and $3,400 per ounce. However, forecasts suggest a potential rise due to ongoing US dollar weakness, escalating geopolitical tensions, trade uncertainties, and expectations of two US interest rate cuts later this year. Gold prices have risen roughly 28% year-to-date. The RSI currently stands at 54, indicating bullish momentum.
Nasdaq 100
The Nasdaq 100 index showed a neutral performance last week, closing Friday at 21,626 points. It has gained about 3% year-to-date, supported by resilient US labor market data, positive earnings reports from major US tech companies, and Federal Reserve officials’ expectations for two rate cuts this year. The RSI is currently 57, reflecting positive momentum.
Key Events This Week
Markets will closely watch several important economic indicators and events this week:
- Monday: Manufacturing and services PMIs in Australia, Japan, Eurozone, UK, and the US, along with US existing home sales.
- Tuesday: Canadian Consumer Price Index (CPI), US Consumer Confidence Index, and a speech by Fed Chair Jerome Powell.
- Wednesday: Australian CPI, US new home sales and crude oil inventory, plus another speech by Fed Chair Jerome Powell.
- Thursday: US durable goods orders, unemployment claims, GDP, and pending home sales.
- Friday: Tokyo CPI, UK GDP, US core personal consumption expenditures (PCE) price index, University of Michigan Consumer Sentiment Index, and Canadian GDP.
Please note that this analysis is provided for informational purposes only and should not be considered as investment advice. All trading involves risk.
