Author: FX
With Middle East tensions still dominating headlines, markets are buzzing about what the closure of the Strait of Hormuz could mean for the global economy. Are recession bells about to ring soon? The Strait of Hormuz, which is that narrow stretch of water between Iran and Oman, has been called the world’s most important energy crossroads. And right now, it’s effectively closed to commercial shipping. Here’s why its shutdown could be a huge deal for markets, economies, and your trading portfolio. The Basics: What Is the Strait of Hormuz? The Strait of Hormuz is a slim waterway, barely 33 km…
The Dow Jones Industrial Average traded 312 points higher, or 0.65%, at 48,807 at the time of writing on Wednesday, clawing back most of Tuesday’s losses after a session that saw the index drop as much as 1.2K points intraday before closing down 403 points. The index opened at 48,368 and reached an intraday high of 48,853, though it remained below the 50-day exponential moving average at 48,979. The S&P 500 rose 0.87% to 6,875, while the Nasdaq Composite led the way with a 1.47% gain to 22,847. A combination of better-than-expected economic data and easing Oil prices gave investors…
FUNDAMENTAL OVERVIEWUSD:The US dollar rallied across the board on safe haven demand as US-Iran conflict erupted over the weekend. The main driver though was the market’s realisation that rate cuts might not come as soon as expected. In fact, higher oil prices will eventually put upward pressure on inflation and Monday’s ISM Manufacturing PMI showed how wrong the market has been in being so dovish on the economy. The data was hot for the second consecutive month, so the one-off narrative was put to rest. Moreover, the prices index jumped to the highest level since 2022, in another sign that…
TD Securities’ Global Strategy Team notes that UK Chancellor Reeves delivered a cautious Spring Statement with no major new policies. Updated OBR projections show slightly slower UK growth in 2026 but stronger growth thereafter, alongside lower inflation forecasts. The team highlights that reduced financing needs and remaining fiscal space could be used if geopolitical risks intensify or policy is loosened later.Spring Statement and OBR projections”As largely expected, Chancellor Reeves played it safe in her fiscal forecast update, with no material new policies announced. The OBR projections showed more headroom by 2029-30, at £23.6bn (vs £21.7bn prior).””Macro projections were updated as…
Bond markets dominated by inflation fear, prompting rate-cut bets to fall Source link
The Most Accurate Reversal Indicator works by tracking divergence between price movement and momentum oscillators. When price makes a new high but the underlying momentum weakens, it signals potential exhaustion. The indicator plots arrows or alerts on the chart when these conditions align with specific candlestick patterns near key support or resistance zones. Here’s what separates it from basic oscillators: it doesn’t just measure momentum in isolation. The calculation incorporates RSI readings, moving average crossovers, and price action patterns simultaneously. When testing this on GBP/USD during the London session, the multi-factor approach filtered out roughly 40% of the false signals…
There is arguably just one to take note of on the day, as highlighted in bold below.That being for EUR/USD at the 1.1600 level. The expiries might just help to keep price action more restricted in the session ahead but as is the case in the days before, expect the impact to be rather limited at best. That as there are bigger drivers of trading sentiment in play.Right now, the dollar remains in a firmer spot amid the broader risk retreat and general unease amid the US-Iran conflict. Adding to that, the downside pressure for EUR/USD is growing after the…
Gold prices rose in United Arab Emirates on Wednesday, according to data compiled by FXStreet.The price for Gold stood at 609.18 United Arab Emirates Dirhams (AED) per gram, up compared with the AED 601.85 it cost on Tuesday.The price for Gold increased to AED 7,105.33 per tola from AED 7,019.88 per tola a day earlier.Unit measureGold Price in AED1 Gram609.1810 Grams6,091.77Tola7,105.33Troy Ounce18,947.64FXStreet calculates Gold prices in United Arab Emirates by adapting international prices (USD/AED) to the local currency and measurement units. Prices are updated daily based on the market rates taken at the time of publication. Prices are just for…
Australia’s economy grew 0.8% in the December quarter of 2025 in seasonally adjusted chain volume terms, according to data from the Australian Bureau of Statistics (ABS). The result matched the pace recorded in the June quarter and marked a clear acceleration from the 0.5% expansion in the September quarter. Through the year, the economy expanded 2.6%, which marks a meaningful pickup from the sluggish 0.8% annual pace recorded at the end of 2023. Key Takeaways from Australian GDP Report GDP rose 0.8% q/q in the December quarter 2025 in chain volume terms, up from 0.5% in Q3 2025. Annual growth…
NZD/USD is poppin’ up interesting candlesticks near a key area of interest! Will this week’s market themes help extend NZD/USD’s uptrend? We’re checkin’ out the daily chart for more clues: NZD/USD Daily Forex Chart Faster with TradingView Unlike the Australian dollar, the New Zealand dollar didn’t get much support from expectations of a more hawkish central bank or from rising gold prices. Meanwhile, the U.S. dollar saw plenty of safe-haven demand as traders priced in the ongoing U.S.-Iran conflict while also dialing back expectations for more dovish Fed rate prospects. Remember that directional biases and volatility conditions in market price…