FX traders are poised to drive the dollar even higher due to a confluence of seasonal and technical factors working in favor of the greenback. Historical data indicates that the dollar tends to appreciate more often than not during August, and this positive seasonal pattern is expected to continue this year. The USD index, which measures the dollar against a...
As Wednesday's trading session approaches, the spot market for gold is experiencing fluctuations, hovering around the $1,900 mark. Investors are biding their time, eagerly anticipating the commencement of the Federal Reserve's Jackson Hole economic symposium, scheduled for Thursday. Remarkably, the precious metal has shown resilience despite the recent surge in...
In Asian morning trade, gold climbs as the recent bond market selloff subsides. According to analysts from ANZ, the dip in Treasury yields has provided a boost to investor interest in this precious metal. Bond yields and gold prices tend to have an inverse relationship, making gold more attractive when yields are lower. All eyes are on this week's Jackson Hole...
Following last week's Bitcoin price crash, on-chain data provides insight into a concerning price scenario. Glassnode's most recent analysis illuminates the current market dynamics, revealing that a substantial portion of BTC spot supply has a cost basis either equal to or exceeding the current market price. Glassnode's chief analyst, Checkmate, commented on this...
Gold prices persist near a five-month low, striving to find stability following a recent sell-off, despite another increase in Treasury yields overnight. A potential respite could emerge if the US dollar rally takes a pause, coupled with a correction from the near-term oversold technical conditions. Nevertheless, signs of a definitive reversal remain elusive,...
Analyzing the daily chart for XAU/USD, gold's downtrend remains in force as it continues to move below the ascending trendline originating from February. This emphasizes a growing bearish sentiment, especially with the presence of a descending trendline from April, which underscores the broader downward bias. In the current scenario, the immediate obstacle is the...
Gold prices have been falling since mid-July as the USD appreciated. With moderate inflation and expectations of further Fed rate hikes, real yields have continued to climb. Yesterday's FOMC minutes reaffirmed the hawkish thesis and mentioned future rate hikes if necessary. Therefore, US government bond yields are expected to continue to rise higher in the near...
The euro is experiencing limited movement against the dollar at the beginning of the week, with traders awaiting new catalysts, according to Dorothea Huttanus, an analyst at DZ Bank Research. The eurozone's data calendar for Monday is relatively quiet, although German producer prices dropped by 6.0% year-on-year in July, surpassing the 4.8% decline predicted in...
Gold prices stabilized on Monday, finding support above their lowest levels in five months. This followed a five-session decline, with investors gearing up for the central bankers' gathering in Jackson Hole, Wyoming, scheduled for this week, where they anticipate discussions on the economic outlook and interest rates. - Spot gold remained unchanged at $1,888.36...
While gold is often considered a safe haven in such scenarios, this perception hasn't held true in the current market turmoil. Similarly, Treasuries are typically viewed as a secure investment and are often sought after during periods of uncertainty. However, both of these assets have experienced declines in their prices, and the driving force behind this...
Gold managed a slight recovery from its 5-month lows on Friday, benefiting from a minor retreat in both the U.S. dollar and bond yields. However, bullion was still on track for its fourth consecutive weekly decline due to concerns over the Federal Reserve's potential decision to maintain higher interest rates for an extended period. At 0358 GMT, spot gold gained...
Subsequently, on Thursday, Evergrande, another prominent Chinese real estate company, filed for Chapter 15 protection within the United States. Chapter 15 is akin to filing for Chapter 11, aimed at companies with both international operations and a presence in the US. Historically, financial markets have displayed apprehension when the potential for contagion...
On Wednesday, gold relinquished its previous gains and slipped below $1,905, marking its lowest point since March. This decline was prompted by the release of minutes from the latest FOMC meeting, which extended the projected timeline for the Federal Reserve's potential interest rate reductions. This shift dampened demand for assets like gold that don't bear...
Gold futures finished below $1,900/oz Wednesday, falling for the eighth straight session to its lowest settlement in five months, pressured by higher U.S. Treasury yields and a firm dollar. Treasury yields finished higher across the curve, including a 4 bps increase on the benchmark 10-year yield to 4.26%, while the dollar index rose 0.2%, making bullion more...
Gold concluded another day with losses on Wednesday, marking its eighth consecutive session of decline, even as the dollar and treasury yields exhibited relative stability. The December delivery contract for gold recorded a decrease of $6.90, closing at $1,928.30 per ounce. This decline coincides with robust economic reports that are reinforcing the dollar's...
- Gold experienced a drop on Tuesday, reaching a nadir of $1,895.50 per ounce. This marked its lowest point since the conclusion of June. The decline was attributed to the surge in benchmark 10-year U.S. Treasury yields, which reached an almost 10-month high. This increase rendered the Treasury yields more appealing compared to the non-interest bearing nature of...
The euro is in the process of challenging significant thresholds in relation to certain currencies, as the release of Euro area GDP data (scheduled for later today) and the forthcoming FOMC minutes (slated for Thursday) approach. It is anticipated that economic expansion within the Euro area likely decelerated to a rate of 0.6% on a year-on-year basis during the...
Gold extended its losing streak for a seventh consecutive session early on Tuesday, following the release of stronger-than-anticipated retail sales data in the United States. This data pointed towards a resilient economy despite the presence of elevated interest rates. The December delivery of gold concluded with a decrease of US$8.80, settling at US$1,935.20 per...