Forex Today: Eyes on Eurozone inflation and GDP data ahead of this week's key events

Here is what you need to know on Tuesday, April 30:

Following a volatile opening to the week, financial markets remain relatively quiet early Tuesday. Gross Domestic Product (GDP) data for the first quarter from the Euro area and Germany will be watched closely. Eurostat will also release the preliminary Harmonized Index of Consumer Prices (HICP) for April. The US economic docket will feature housing data and the Federal Reserve's (Fed) two-day meeting will get underway.

The US Dollar (USD) weakened against its major rivals on Monday and the USD Index closed the day in negative territory. In the European morning, the index recovers toward 106.00. In the meantime, the benchmark 10-year US Treasury bond yield holds above 4.6% and US stock index futures trade marginally lower. 

Following Japan's suspected intervention in foreign exchange markets, USD/JPY fell to 154.50 in the Asian trading hours on Monday. The pair erased a portion of its daily losses later in the day and continued to recover toward 157.00 early Tuesday. Japan's top currency diplomat, Masato Kanda, said that he has no comment on foreign exchange intervention for now when was asked by media if authorities had stepped into markets to support the Yen. Kanda added that the Ministry of Finance will release figures on currency intervention at the end of May.  

Japanese Yen holds above 157.00 against USD, looks to US macro data for fresh impetus.

EUR/USD registered small gains on Monday but lost its traction on Tuesday. The pair was last seen trading at around 1.0700. The data from Germany showed earlier in the day that Retail Sales rose 1.8% on a monthly basis in March following the 1.9% contraction recorded in February. 

Australian Bureau of Statistics reported on Tuesday that Private Sector Credit grew 5.1% on a yearly basis in March, while Retail Sales declined by 0.4% (MoM). Meanwhile, Caixin Manufacturing PMI in China edged higher to 51.4 in April from 51.1 in March and NBS Non-Manufacturing PMI declined to 51.2 from 53. AUD/USD came under heavy bearish pressure following mixed data releases and declined toward 0.6500 during the Asian trading hours.

Australian Dollar drops toward a psychological level after weaker Retail Sales.

GBP/USD rose more than 0.5% on Monday but reversed its direction early Tuesday. As of writing, the pair was down 0.25% on the day near 1.2530. 

Gold struggled to find direction on the first trading day of the week and closed virtually unchanged. XAU/USD stays on the back foot in the European session and trades below $2,330.