Most investors are worried about an aggressive Fed’s hike that could knock the US economy into a recession. At the time of writing, the USD/CAD is trading at 1.3293, above its opening price by 0.51%. The Canadian dollar weakened versus the solid US dollar, piercing the 1.3300 mark briefly during …
Read More »Basra spill pushes oil prices up, but weekly decline recorded
Oil prices slightly rose on Friday on news about Iraq’s Basra terminal’s spill. The news indicates crude supply constraint, but overall, prices are still down on the week on fears that interest rate increases will curb global economic growth and accordingly will impact global demand for fuel.Brent crude futures settled …
Read More »T-Yields soaring ahead of FOMC’s rate decision
Short-dated Treasury yields soared on Friday while the dollar rose as investors bet on US interest rate hike next week and grew alarmed at signs of a global economic slowdown.The two-year U.S. Treasury yield, a bellwether for interest rate expectations, topped 3.9%. Coupled with a decline in the benchmark 10-year …
Read More »GBP/USD recovers ahead of rate decisions by BoE, Fed
The GBP/USD pair is expected to finish the current week with more than 1.50% losses, ahead of BoE’s and Fed decisions. The pair is trading at 1.14 at the time of writing versus Thursday’s closing price at 1.1395.The University of Michigan Consumer Sentiment improved versus the last month’s reading, while …
Read More »USD/JPY is set to finish the week with gains
The USD/JPY pair is maintaining mixed trading as Japanese intervention in the forex markets is underway. The pair is neutral, but a break below 143.00 could pave the way toward 142.99.The USD/JPY slumps for the second day in the week after falling short of testing the YTD high at 144.99, …
Read More »Dow Jones Loses 300 points on FedEx warning
US stocks fell Friday as Wall Street headed toward a big losing week, and traders absorbed an alarming warning from FedEx concerning earnings and slowdown of the global economy. The Dow Jones Industrial Average dropped 306 points, or 1%. The S&P 500 and Nasdaq Composite slid 1.2% and 1.6%, respectively.Shares …
Read More »Gold could slide further if Fed hikes more than 75 bps
Gold has been trading below the $1,700 mark for three days. Gold is now trading at $1677.15. The Fed policymakers will meet next week, and an increase of 75 basis points is broadly anticipated. Strategists at Commerzbank have examined how the precious metal could react to such a move. “If …
Read More »Germany seizes Rosneft’s refinery
Germany took control of a major Russian-owned oil refinery on Friday, risking retaliation from Moscow as Berlin struggles to hold up energy supplies and meet its European Union commitment to cut Russian energy imports by the end of 2022.The economy ministry said it was putting a unit of Russian oil …
Read More »Market Drivers – US Session September 15
Gold price is fighting its own battle against soaring Treasury yields and the rising US dollar. Gold has lost about $40 on the day and hopes for a catalyst to rebound. The market is getting more nervous that the monetary mistake would lead to a severe session for gold like …
Read More »Shift from ‘soft landing’ to ‘hard landing’ impacting gold
Gold fell nearly $40 from daily highs and hit more than two-year lows under pressure from aggressive rate hike expectations as the US dollar and Treasury yields climbed. The precious metal closed at $1696.79 on Wednesday, and on Thursday was unable to break the $1,700 line, instead the price action …
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