Today's Forex Forecast: USD Friday's recovery and the start of the new week analysis

The US Dollar (USD), which had experienced a significant selloff for the bulk of the previous week, was able to somewhat recover some of the losses before the weekend. As investors wait for the next catalyst at the start of the new week on 17th April, the US Dollar Index maintains its position. Market players will closely monitor central bankers' comments as the Empire State Manufacturing Survey from the Federal Reserve Bank of New York will be the lone data item on the US economic docket.

The US Census Bureau said last Friday that retail sales in the US fell by 1% every month to $691.7 billion in March. This report, which came in worse than the market consensus of a decline of 0.4%, came after February's contraction of 0.2%. The University of Michigan's Consumer Sentiment Survey's one-year inflation forecast component also increased from 3.6% in March to 4.6% in April, giving the Dollar some more support.

The benchmark 10-year US Treasury bond yield is stable at about 3.5% early on Monday, supporting the USD. The US Dollar Index is holding onto minor daily gains above 101.50 while US stock index futures trade slightly higher on the day.

AUD/USD has been able to hold steady above 0.6700 after Friday's sudden pullback. 

The minutes of the Reserve Bank of Australia's most recent policy meeting will be released early on Tuesday during the Asian session, while China's economic docket will include first-quarter Gross Domestic Product (GDP) numbers. After Friday's significant losses, the EUR/USD pair completed the week in the black for the seventh week in a row. The pair swings below 1.1000 on Monday morning in a constrained channel.

After a decline on Friday, GBP/USD was able to rise over 1.2400 on Monday morning in Europe. At 13:00 GMT, Sir Jon Cunliffe, the Bank of England's Deputy Governor for Financial Stability, is set to speak.

On Friday, gold virtually all of its weekly gains were lost, although the week ended just above $2,000 overall. Early on Monday, XAU/USD increased modestly, and it was last seen trading in the positive territory at just around $2,010.

To begin the new week, USD/JPY is trading in the green at about 134.00 as a result of Friday's significant gain. That all concludes the news for today.