FX

Gold (XAU/USD) booked the first weekly gain in three weeks, settling 1.20% higher above the psychological $1950 mark. The metal almost tested the critical $1976 hurdle once again on Friday, as the dovish Fed narrative continued to pressure the US dollar alongside the Treasury yields. Markets assessed the implications Fed Chair Powell’s call for lower

Patrick Timothy Harker is the President of the Federal Reserve Bank of Philadelphia who is currently speaking at the Jackson Hole symposium and he has made some comments that pretty much confirms what was said by Fed Chair Powell on Thursday. Interestingly he said he sees a very bumpy “Nike-Swoosh” style recovery. Both Harker and Bullard

Brexit negotiations have continued over the summer and last week the negotiations ended without any major breakthrough. Economists at Danske Bank have lowered the odds of a deal to 60% from 65% while have lifted the probability of a no-deal to 40% from 35%. EUR/GBP will skyrocket to 0.97 on a no-deal scenario. Key quotes

XAU/USD is holding in longer-term bullish territory, but temporary strength in the greenback has flushed out short term speculative gold positions.  The Jackson Hole has confirmed a lower for longer stance at the Fed, gold to benefit from lower yields.  Gold markets had seen volatile price action leading into the Jackson Hole event with spot prices trading

Economists at Rabonank believe Brazil is going to see quarterly gains from the tirhd quarter while see the central bank taking a long pause. All in all, USD/BRl is expected to trade at 5.25 and 4.90 by end-2020 and end-2021 respectively. Key quotes “With better activity and Covid-19 outlooks, we now upgrade our 2020 GDP

S&P 500 continues to push higher toward 3,500. Salesforce.Com Inc (CRM: NYSE) surges to all-time highs on upbeat quarterly results. For the third straight day, Wall Street’s main indexes started the day little changed. However, the risk-on market environment on coronavirus treatment optimism provided a boost to stocks and the S&P 500 Index (SPX) touched

Gold extends its consolidation after moving to $2075/80. Strategists at Credit Suisse remain of the view this is a pause in the core bull trend but that this phase could last a significant while and the yellow metal could yet see a test of support at $1867/37. Key quotes “Gold continues its expected consolidation following

USD/JPY shedding some ground as the US dollar pulls off from its highs, testing the 93 figure. All eyes are on the Fed and the Jackson Hole this week. USD/JPY is currently trading at 106.34 between a range of 105.87 and 106.57, slightly up on the day as risk sentiment remains robust, supporting the US

EUR/JPY gained 0.11% on Monday, ending a six-day losing streak, after nearing the uptrend at 124.34. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, recommends raising the stop to 124.30, partially cover 126.75 and exit the remainder 127.50. Key quotes “EUR/JPY has slipped back to and so far held over the four-month uptrend

AUD/USD erases major portion of daily gains during American session. US Dollar Index remains on track to close second straight day higher. Upbeat market mood helps AUD stay resilient against its rivals. The AUD/USD pair rose above 0.7200 earlier in the day but struggled to preserve its momentum as the USD started to gather strength

USD/JPY rebounds from 105.40 support but maintains a downward bias. Resistance at last week’s high 106.20 blocks passage above with 106.50 behind. Dollar weakness and the state of the US economy orders trading, as FXStreet’s analyst Joseph Trevisani notes. Key quotes “As has been true for most of the post-pandemic period and especially for the

Here is what you need to know on Monday, August 24:  The greenback advanced ahead of the weekend, partially backed by encouraging local data, yet also due to profit-taking amid the extreme oversold conditions of the American currency. Coronavirus: Spain, France and Germany are seeing sharp increases in the number of new daily cases, reaching

The total number of confirmed COVID-19 infections in Germany rose by 2,034 to 232,082, the report published by the Robert Koch Institute (RKI) showed on Saturday. On Thursday and Friday, Germany reported 1,510 and 1,707 new cases, respectively. Further details of the publication revealed that coronavirus-related fatalities increased by 7 to 9,267, as reported by

Gold failed to reclaim $2,000 and closed week in red. Broad USD strength didn’t allow XAU/USD to regather bullish momentum. Focus shifts to FOMC Chairman Powell’s speech on August 27th. After rebounding above $2,000 at the start of the week, the troy ounce of the precious metal fell sharply on Wednesday and lost more than

Rabobank analysts note that the British pound has received a boost from the latest round of upbeat macroeconomic data releases from the UK. Key quotes “The numbers suggest that consumers may be more active than expected while inflationary forces could be growing. These data will likely emphasise the concerns of some market participants that huge levels

S&P 500 is posting small gains in choppy trading day. Deere & Company (NYSE: DE) shares advanced to record highs on upbeat earnings outlook. Keysight Technologies Inc (NYSE: KEYS) drops as investors book profits. Wall Street’s main indexes opened the day little changed on Friday and continue to fluctuate in tight ranges ahead of the

Markit will publish this Friday at 08:00 GMT the preliminary estimates of its August indexes. EU August activity is expected to remain in expansion territory in August but speculative interest can’t ignore the sharp increase in coronavirus outbreaks in Europe. EUR/USD weighed by a resurgent dollar, but the slump remains corrective, FXStreet’s Chief Analyst Valeria

GBP/USD back on the bid as the US dollar failed to hold in the 93 areas. Brexit concerns could come back into play if there are no positive progress reports from this week’s talks. GBP USD is currently trading 1.3190 and travelling between a low of 1.3064 and a high of 1.3201.  In recent trade, the