Gold plunged from $4,200 to test critical $4,000 support, raising fears of deeper losses if this key Fibonacci and psychological level fails to hold.

Financial markets are shifting as investors move away from yen and gold, favoring the U.S. dollar due to squeezed short positions and renewed confidence in U.S. corporate earnings, signaling broader economic strength.

The Pound Sterling trades sideways around 1.3350 against the US Dollar as focus shifts to the US inflation data.