Author: FX
This week’s market action highlighted a tug-of-war between rising U.S. Treasury yields and safe-haven flows, as investors digested mixed economic data, inflation and geopolitical concerns, and U.S. and Japanese election-related uncertainties. While gold and the dollar moved in sync with geopolitical tensions and Fed outlook shifts, equities and oil prices felt pressure from global growth worries and cautious sentiment. Which headlines moved the major assets around this week? Let’s break them down: This Article Is For Premium Members Only Become a Premium member for full website access, plus get: Ad-free experience Daily actionable short-term strategies High-impact economic event…
Rising U.S. yields and geopolitical tensions dominated this week, driving safe-haven flows and broad dollar strength. We’re detailing how the major currencies moved around! Source link
US Dollar holds its ground at the end of the week, remains in consolidation mode. Fed officials remain cautious on inflation, as Durable Goods Orders miss market expectations. Markets continue to see two cuts by year-end. The US economy remains robust with GDPNow tracking third-quarter growth at 3.4%. The strong economic outlook might push the Federal Reserve (Fed) to adopt a more cautious stance. Investors, meanwhile, are confident of two cuts by the end of 2024. The US economy remains robust with the Atlanta Fed’s GDPNow model tracking Q3 growth at 3.4% and the New York Fed’s Nowcast model projecting…
EUR/USD returned to its bearish ways on Friday. A broad upswing in the Dollar Index continues to pummel the Euro. Coming up next week: DST, EU CPI, US PCEPI, and another NFP print. EUR/USD trimmed a near-term rebound on Friday, slamming the door on a clean bullish recovery and keeping bids trapped near the 1.0800 handle to round out the trading week. Fiber shed another half of a percent from Monday’s opening bids, challking in a fourth straight losing week and dragging price action down even further from late September’s peak just north of 1.1200. Markets will kick off next…
NZD/USD retreats further, dropping below 0.6000. Oversold RSI points to possible corrective bounce, but bearish momentum remains strong. The pair stands in lows since early August. The NZD/USD currency pair has extended its downtrend, with bears maintaining a firm grip as selling momentum builds. During Friday’s session, the pair fell by 0.60% to 0.5980, hitting lows not witnessed since August. In addition, the 20-day Simple Moving Average (SMA) is about to complete a bearish crossover with the 100-day SMA which could add selling pressure. The Relative Strength Index (RSI) remains in oversold territory, currently at 30, indicating intense selling pressure.…
Gold remains elevated amid renewed Middle East hostilities. US election uncertainty adds to gold’s appeal, with polls showing a tight race between Trump and Biden in key swing states. Rising US Treasury yields and a rebounding Dollar cap gains, with DXY up 0.29% and limiting further upside for the yellow metal. Gold price remains firm ahead of the weekend late in the North American session, up 0.18% after hitting a record high on Wednesday at $2,758. Elevated tensions in the Middle East and uncertainty around US elections keep traders flocking to the safe-haven metal. The XAU/USD trades at $2,740 at…
Mexican Peso weakens amid political uncertainty after judicial reforms limit judiciary’s ability to challenge constitutional changes. President Sheinbaum’s defiance of a federal judge’s suspension order adds to concerns about rule of law and economic stability. Fears of potential US tariffs under a Trump presidency weigh on the Peso, compounding pressure from Mexico’s internal political shifts. The Mexican Peso depreciated against the US Dollar on Friday due to political turmoil linked to the recently approved judicial reform. Investors remain uncertain about recently approved reforms, which could threaten the state of law, and affect Mexico’s creditworthiness. At the time of writing, the…
Dow (DOW) closed at $49.70 on Friday, 2.5% lower on the day. Dow’s stock price has decreased 8.1% so far this year, much less than the 12.4% advance registered by the overall Dow Jones Industrial Average (DJIA) index. On Friday, the DJIA fell by 0.6% to close at 42,114 points. The three leaders were Intel (INTC), Salesforce (CRM) and Microsoft (MSFT), while the three laggards were McDonald’s (MCD), Goldman Sachs (GS) and Dow (DOW). Back to Dow, its latest earnings report from fiscal Q3 showed that earnings per share (EPS) arrived at $0.47, in line with consensus. Revenue, meanwhile, stood at $10.88 billion. The next earnings report for…
The NZD/JPY has been trading sideways recently, showing no clear trend. Technical indicators suggest a growing bearish momentum, with the RSI and MACD starting to turn in favor of the sellers. The 100 and 200-day SMA completed a bearish crossover at 92.00. The NZD/JPY pair has traded within a tight range recently, demonstrating a lack of clear directional momentum. However, Friday’s session saw a modest decline of 0.32% to 91.00, hinting at a potential shift in sentiment. Technical indicators align with this observation. The Relative Strength Index (RSI) of 52 suggests that buying pressure is on the wane. Meanwhile, the…
US UMich October final consumer sentiment 70.5 vs 69.0 expectedUS September durable goods orders -0.8% versus -1.0% expectedCanada August retail sales +0.4% vs +0.5% expectedCanada Sept new housing price index 0.0% vs 0.0% priorBaker Hughes US oil rig count -2BOC Macklem: If population grows slows more than assumed, headline GDP will be lowerCNN: Trump 47%. Harris 47%. It’s a horse race.Nvidia is once again the world’s most-valuable companyAtlanta Fed Q3 GDPNow 3.3% vs 3.4% priorECB’s Lagarde: Disinflation process is well on trackMarkets:Gold up $8 to $2743US 10-year yields up 3.6 bps to 4.23%WTI crude oil up $1.43 to $71.63S&P 500…