The euro is rising for a fifth week in a row, encouraged by weaker dollar and better risk sentiment. The greenback continues to digest the Fed’s dovish message on rates. Powell, who is particularly careful about the message he sends markets, confirmed that the central bank had softened its stance and will take a pause in hiking. Despite a softer tone was...
Global investors are awaiting the outcome of the FOMC’s January policy meeting. Stocks and currencies are muted ahead of the important verdict. While nobody expects any changes in the rates, the estimates of the potential rhetoric by the Federal Reserve differ. Against the backdrop of the latest speculations, one of the key issues for markets is the possible...
As was widely expected, the United States sanctioned Venezuela's state-owned oil company, in an effort to put more pressure on Maduro and oust him from power. The restrictions block about $7 billion in PdVSA assets. The American companies have until March 29 to wind down operations with PDVSA. However, crude oil markets have barely reacted to the measure. On...
The greenback that suffered steep losses on Friday and remains mainly on the defensive at the start of a new trading week, will have a critical test in the days to some. The FOMC meeting and the NFP employment report will set the tone for the major currency pairs in the short term. Investor concerns over the US GDP and the global economy in general make the...
What is going on with the European currencies now cab be clearly seen in the GBPUSD dynamics. The cross has lost more than 3% over the last ten trading days and touched a May 2017 low marginally above 0.86 on Friday. It looks like the pair has found a local bottom at this level as the euro turned positive on the day during the European session. However, the...
The greenback turned higher against major rivals on Thursday with traders switched to some profit-taking in the European currencies. As for the cable, the technical correction is due to overbought conditions. The pound was rejected from mid-November highs around 1.31 and got back below the 200-DMA that was eroded yesterday for the first time since April 2018....
Gold prices rose on Tuesday due to a widespread risk aversion amid the lingering concerns over global growth. The incoming economic data continue to signal that the global GDP is losing steam, which fuels demand for the precious metal since December. The decline in 10-year US Treasury yields was the largest since early January played into the bullion’s hands as...
The AUD/USD recovery after the flash-crash from January 3 has stalled above 0.72, where the pair encountered a local resistance area. The price was rejected from a mid-December top and dropped to two-week low of 0.7120 on Tuesday. By the way, the move down is rather measured and gradual due to a muted USD demand amid the ongoing US government shutdown and a more...
After three weeks of gains, Brent is trading directionless on Monday. The official Chinese data confirmed that the country’s economy has slowed in 2018 to 6.6%, which was the lowest growth rate in 28 years. But the numbers failed to spook investors as the expectations were even more bearish. In general, the risk sentiment looks subdued which prevents oil prices...
The euro turned marginally higher on Friday but in weekly charts, the EURUSD remains firmly in the red. The common currency continues its efforts to break above the 1.14 handle which is in focus these days. The pair still lacks the directional impetus amid lack of meaningful drivers. Traders continue to digest a more cautious ECB stance. Investors are now...
The US dollar is trading in a mixed mode on Thursday, appreciating against the euro and declining against the Japanese yen. The dynamics reflects the lack of risk appetite in the global financial markets as investors continue to worry about slowing global growth, the US government shutdown, and political and economic issues in Europe. The greenback is moving...
Gold, along with other safe-haven assets, failed to receive a boost from a parliamentary vote in the UK where Theresa May suffered the worst defeatof a government in the history of the House of Commons. Now, investors bet on a ‘softer’ Brexit, which in turn supports high-yielding assets, while the Japanese yen and gold turned lower on Tuesday. Today, the...
Euro is trading little changed from the early January levels, demonstrating a neutral dynamics. On the weekly charts, EURUSD is stuck between the 100- and 200-SMAs and continues to trade within a limited range. But the general dollar weakness suggests the common currency could resume the rally after the current retreat. To make a new bullish breakthrough, the...
A fresh flurry of bearish news renewed safe-haven demand at the start of a new trading week, with the Japanese yen is back on the offensive after two days of a limited correction. USDJPY failed to break above 109.00 last week and now threatens the 108.00 figure again on Monday. In another sign that US-China trade war hurts the global economy, the huge...
Gold prices climbed to fresh six-month highs a week ago as the rally was capped by the psychological barrier at $1,300. The precious metal failed to regain the sustainable traction since then and goes through a consolidation mode in anticipation of fresh drivers. On Friday, the prices resumed the upside move, challenging the $1,295 handle. In the weekly and...
The greenback outperformed its major rivals in 2018, though felt much worse towards the end of the year. Since the start of January, the US currency faces an even stronger selling pressure as the Federal Reserve is sending clearer signals about a pause in further tightening due to slowing growth in the US and globally, trade wars, and the increasing political...
The common currency resumed the rise on Wednesday after a brief retreat yesterday. EURUSD is still stuck in a range limited by the 1.14 barrier on the upside as bulls lack the incentive to make a clear break above the 100-DMA that caps the momentum since late-September. However, there are some arguments for euro gains in the medium term. First, the dollar...
After a brief pause that was just a short-term bounce within a bullish trend, gold prices resumed the ascent on Thursday, though failed to challenge the six-month highs close to $1280 reached the day before. On Friday, the price has refreshed a six-month high above $1281 and looks set to target the key $1300 barrier. The yellow met-al continues to attract demand...