Session Recap: Euro rises, the gold collapses further

FXstreet.com (San Francisco) - The Euro traded higher on Thursday as the USD was somehow weak in the session as investors believed that the Federal Reserve is still far from starting to reduce its bond buying program as Fed policymakers hinted in several speeches.

The EUR/USD holds the 1.3000 position and it's closing the day at 1.3040; the EUR/JPY advanced more than 100 pips to price above the 128.00 area and the EUR/GBP climbed to trade above the 0.8550 area.

The gold extended its decline and currently it's pricing around $1,198.50; The XAU/USD is 2.55% down on the day, 7.2% negative on the week.

Main headlines in the American session:

US: Initial Jobless Claims fell to 346K

US: PCE rose 1.0% YoY in May

Post-Fed panic receding

US: Annual Pending Home Sales rise by 12.1% in May

Fed’s Powell: Market adjustment larger than would be justified by reasonable reassessment of the path of future Fed policy

Fed's Dudley: QE taper depends on economic outlook

Powell: Not a foregone conclusion Fed will raise rates when unemployment falls to 6.5%, will depend on inflation and other data

Fed Lockhart says markets misread Bernanke

Gold collapses to $1,200/oz; AUD/USD falls further

Wall Street rises for third day on extra QE time