Forex Today: Investors shift their attention to the FOMC Minutes

The US Dollar (USD) regained composure and managed to leave behind two daily retracements in a row on turnaround Tuesday, as US investors returned to their desks following Monday's Memorial Day holiday. Meanwhile, traders focused on the trade front as well as the Senate debate on Trump's sweeping tax bill.

Here's what to watch on Wednesday, May 28:

The US Dollar Index (DXY) rebounded from multi-week troughs on Tuesday, climbing to two-day highs near 99.60 amid declining US yields across the curve. The release of the FOMC Minutes of the May 7 meeting will be the salient event, seconded by the weekly MBA Mortgage Applications, the Richmond Fed Manufacturing Index, and the API's weekly report on US crude oil inventories. Additionally, the Fed's Williams and Kashkari are due to speak.

EUR/USD once again met a tough resistance just above the 1.1400 barrier, slipping back to the negative territory following a mild bounce in the US Dollar. Germany's labour market report will be in the spotlight, seconded by Import Prices, while the ECB will release its Consumer Inflation Expectations survey.

GBP/USD alternated gains with losses just below the 1.3400 barrier amid the decent recovery in the Greenback. The BoE's Pill is due to speak.

Further depreciation of the Japanese Yen lent fresh wings to USD/JPY, prompting the pair to reclaim the 144.00 hurdle and above. Next on the Japanese calendar will be the weekly Foreign Bond Investment prints and May's Consumer Confidence, all expected on May 29.

AUD/USD added to the recent rejection from yearly peaks north of 0.6500 and retreated to the 0.6440 zone, where it met some contention for the time being. The RBA's Monthly CPI Indicator and Construction Work Done are next on tap.

Prices of WTI dropped for the second day in a row on Tuesday, approaching the key $60.00 mark per barrel as traders remained prudent ahead of the OPEC+ meeting, while easing geopolitical concerns also contributed to the correction.

Gold prices extended Monday's pessimism and flirted with three-day troughs near the $3,280 mark per troy ounce following a stronger US Dollar and easing jitters on the trade front. Silver prices lost momentum and revisited the $32.80 zone per ounce, an area coincident with the interim 55-day SMA.