Gold prices have experienced a sharp decline, falling below the crucial $2,600 level, as the US Dollar strengthens and Treasury yields rise. This downward trend is primarily driven by a combination of factors, including a less dovish Federal Reserve, escalating geopolitical tensions, and a shift in investor sentiment.A Strengthening Dollar …
Read More »Gold’s rally could continue on US inflation data
Recent US inflation data released on Tuesday indicated a slower increase in producer prices. This has led to growing expectations that the Federal Reserve will soon lower interest rates. A weaker US dollar, resulting from these expectations, has benefited gold prices.Gold was the biggest winner following the release of the …
Read More »Market Drivers – US Session, August 11
The US Dollar Index kept advancing and rallied for a fourth week in a row. It reached its highest point for the week, close to the 103.00 level, since June. The stock markets didn’t shift much as caution predominated. While continuing its seven-week rising trend, crude oil briefly retraced after …
Read More »US bond yields surge after mounting interest rate expectations
Yields on the US benchmark bonds rose as a result of investors’ focus in financial markets on the next batch of inflation data in the United States, as the Consumer Price Index readings appear amid expectations of an increase in the annual reading that appears this week.Pushed by mounting expectations …
Read More »GBP/USD surges on weakened US dollar, BoE rate hike bets
The GBP/USD pair skyrockets as US Jobless Claims are seen soaring and market participants expect the US central bank to pause policy tightening. The US Treasury bond yields are pressured and the US Dollar Index collapsed by 0.73%. The GBP/USD pair has surged due to a weakened US dollar and …
Read More »EUR/USD jumps on hawkish ECB remarks, US trade deficit reading
The EUR/USD pair buoyed by hawkish ECB commentary bounces off 200-day EMA as Fed June rate hike expectations fade. The US trade deficit widens significantly to $-74.6B, driven by a decline in exports and a rise in imports. Rate hikes by BoC and RBA influence US Treasury bond yields, signaling …
Read More »Risk aversion drags GBP/USD down from weekly highs
After reaching a weekly high of 1.2507, the GBP/USD pair changes direction and declines to the 1.2397 level, at the time of typing, as a result of risk aversion that caused flows towards safe-haven assets. Despite the fact that US Treasury bond yields are falling, the US Dollar (USD) is …
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