BUZZ-COMMENT-US recap:EUR/USD reverses loss after ECB cut

Jan 30 (Reuters) - EUR/USD reversed an earlier loss on Thursday amid short-covering after the European Central Bank cut its policy rate by 25 basis points, as expected, and offered dovish guidance in the face of lackluster economic growth.

ECB President Christine Lagarde said that the policy direction is clear though data will help determine the pace of cuts.

The dollar was weighed down by lower Treasury yields after Q4 GDP missed estimates though losses were limited by the risk U.S. tariffs might be announced over the weekend.

The pound was little changed on Thursday and the FTSE reached a record as investors await an almost-certain Bank of England rate cut next week.

The yen held broad gains against its peers as policy rates converge after the ECB and Fed meetings. Risk reversals shifted in favor of the yen, hinting at further gains. Tokyo CPI will be eyed on Friday to see if the Bank of Japan remains on course for higher policy rates.

Gold also reached a record, rising 1.3% as a hedge against U.S. tariffs and inflation impact of rate cuts.

Treasury yields were down 2 to 4 basis points. The 2s-10s curve was down 1 basis point at +30.9bp.

The S&P 500 rose 0.5% amid broad-based gains

Oil advanced 0.4% on supply concerns while copper rose 0.7% as risk tone improved.

Heading toward the close: EUR/USD +0.04%, USD/JPY -0.56%, GBP/USD +0.07%, AUD/USD +0.06%, DXY +0.15%, EUR/JPY -0.53%, GBP/JPY -0.51%, AUD/JPY -0.48%.

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