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Here is what you need to know on Friday, December 19:

The US Dollar Index (DXY) is trading near the 98.45 level after data from the US Bureau of Labor Statistics (BLS) showed the Consumer Price Index (CPI) increased by 2.7% YoY in November, below market expectations of 3.1% and a decline from 3.0% in September.

EUR/USD is trading near the 1.1720 price region, with the EUR under selling pressure following the European Central Bank's decision to keep rates unchanged, as widely expected. The statement went unnoticed; however, economic projections indicated revised growth and inflation forecasts, which were not particularly surprising.

GBP/USD is muted near 1.3370, after trimming almost all its intraday gains in the American session on Thursday. The Bank of England (BoE) announced a 25 basis point interest rate cut, which was expected. The MPC voted 5-4 in favor of the cut, also aligning with expectations, despite increasing inflationary pressures in the United Kingdom.

AUD/USD has little upward momentum and trades near 0.6620 late on Thursday.

USD/JPY is trading near the 155.60 price region, holding its ground and awaiting the Bank of Japan (BoJ) interest rate decision, which is expected to be a 25 bps tightening announcement in the early Asian session on Friday.

Gold is trading at $4,330 per troy ounce, little changed on Thursday. XAU/USD advanced towards a two-month high of $4,374 earlier in the day, but ended up giving up some of its gains after United States (US) inflation data came in lower than expected.

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