Author: FX
Economists at Credit Suisse expect the Chinese Yuan to continue weakening in the coming months. Asia FX complex is likely to remain weak in the first part of 2023 “The Asia FX complex is likely to remain weak in the first part of 2023 given the resilient USD trend.” “Some divergence across the region can be expected, depending on the various economies’ dependence on manufacturing exports. This is one key reason why the CNY is likely to weaken. The other is that imports are likely to accelerate as expansionary fiscal and monetary policy starts to feed through into the real…
Volatility and erratic moves during the last trading session of the year. NZD/USD to end year with a 7.30% loss. The 0.6500 has the key to more gains for the Kiwi. The NZD/USD is trading above 0.6300 during the last trading day of 2022. On a volatile session the pair hit the highest level in a week at 0.6373 and then pulled back to the 0.6330 zone. The Kiwi is among the worst performers on Friday, on a volatile final trading day of 2022. For the year, the NZD lagged among commodity currencies, even after the recovery of the last…
The number one thing the world has to be thankful at the turn of the year is good weather in Europe, and to a lesser extent North America.Europe is a weather trade right now and the forecast is good. November was remarkably warm in Europe, December had a short-lived cold snap but the next two weeks are warm.Europe GEFS (GFS Ensemble) temperature anomaly 06z forecast for Dec 30 to Jan 15 from Pivotal Weather. #Natgas https://t.co/wwPYcRG9BL pic.twitter.com/DvYON9AABd— RonH (@Ronh999) December 30, 2022 Beyond that, it’s anyone’s guess but even with what’s happened already, European energy storage will hold up. In…
Iron Ore has been one of the worst-performing commodities this year. Hopes of a China recovery in the second half of 2023 should provide support in the medium term. The short-term outlook is more bearish, strategists at ING report. Iron Ore’s rout to continue until China recovers “We believe the short-term outlook remains bearish with sluggish demand from China suggesting that prices should trend lower. We expect prices to slide to $85/t in the first quarter of 2023 and hover around $90/t throughout the second and third quarters.” “Prices should be supported in 2H23 due to expectations of a recovery…
Platinum price is roughly 3% up for the year, making it the best performing of all exchange-traded precious metals this year. Economists at Commerzbank see Platinum with upside potential. Only limited upside potential in the short term “We see only limited upside potential in the short term.” “Platinum should trade at $1,050 by the middle of next year. With the rising Gold price, Platinum should continue to gain in the second half of the year and trade at $1,150 at the end of the year. The price difference to gold would then be $700, which would mean that Platinum would catch…
EUR/USD is still rangebound, failing to crack the 1.0700 ahead of the year’s end. The Chicago PMI for December exceeded expectations and the previous month’s reading. EUR/USD Price Analysis: Upward biased, but failure to conquer 1.0700 would expose the pair to selling pressure. The EUR/USD advances modestly in the last trading day of 2022, during the North American session, though above its opening price by 0.13%. A light economic calendar keeps the EUR/USD pair within familiar ranges ahead of the week, month, quarter, and year-end. At the time of writing, the EUR/USD is trading at 1.0695. Wall Street is set…
Gold prices print new highs, but continues to have difficulties holding above $1,820. Divergence in metals: gold tests daily highs while silver hits fresh lows. Volatile final hours of 2022 across financial markets on the London fix. Gold prices are hovering around $1,820 about to end 2022 practically flat for a wild year. On Friday, XAU/USD rose to as high as $1,825 and then pulled back. The bias point to the upside, but the yellow metal continues to show difficulties in holding above the $1,820 zone. Silver and gold prices showed an unusual divergence. Silver tumbled from fresh highs at…
2022 has been a difficult year for the UK. Economists at ANZ Bank expect the GBP to remain under pressure in 2023 relative to other G10 currencies. Structural challenges “In view of weak fundamentals in the UK, we expect the GBP to remain under pressure in 2023 relative to other G10 currencies.” “The fundamental backdrop for the UK is filled with uncertainty. Over the short term, households will have to deal with elevated inflation, higher taxes and the increased costs of servicing debt. This will dent consumption and dampen the already subdued growth outlook. All of these are GBP negative.”…
Unisync reports FQ4 results Source link
China says it will add to reserves and output of energy and other resources. In the next few years, Russian energy will be capital starved but China will be right there waiting. Last year, China outlined several long-term aspirations and they were mostly things you would expect like semi-conductors and belt & road initiatives but one stood out: energy extraction. It’s a small industry in China and there are few domestic reserves but now you can see why they want to develop some expertise, especially with strong Chinese ties to places in Africa that have untapped oil.In any case, crude…