FX

According to a study released by South Africa’s largest private health insurance administrator, Discovery Health, two doses of Pfizer-BioNTech vaccine give 70% protection against Omicron hospitalisation, as reported by Reuters. Additional takeaways “Two doses of Pfizer-BioNTech vaccine give 33% protection against infection during current wave.” “Study suggests risk of reinfection during current wave significantly higher than during previous

Gold bulls rake control at the start of the week and eye $1,1815 resistance. The Fed is the key focus this week and markets weigh aggressive tightening.  Update: Gold (XAU/USD) grinds higher around $1,786, positing a two-day rebound to Monday’s close of the North American trading session. The yellow metal benefits from cautious sentiment in

AUD/USD came under renewed selling pressure on Monday amid a pickup in the USD demand. The prevalent risk-on mood also did little to lend any support to the perceived riskier aussie. The downside is likely to remain cushioned as the focus remains on the FOMC policy decision. The AUD/USD pair extended its steady intraday descent

Despite the record run in Wall Street indices and an uptick in the US Consumer Price Index (CPI) on Friday, gold price jumped last Friday. The jump in the US inflation was not as big as expected, which cooled off aggressive Fed rate hike bets, allowing gold price to stage a comeback amid a broad

A risk-on market mood boosts risk-sensitive currencies like the British pound, the JPY falls. Traders’ mood turned negative when the US inflation crossed the wires, thought later improved. GBP/JPY Price Forecast: Has a neutral-bullish bias, though downside risks remain. The British pound pares some Thursday’s losses during the New York session gains 0.31%, trading at

USD/JPY continues to trade close to the 113.50 level after seeing some post-US inflation data choppiness. The pair continues to track moves in the US 10-year yield and as long as that remains subdued, USD/JPY will struggle to recover. USD/JPY was subdued on Friday, for the most part sticking within recent ranges and not deviating

The US Dollar Index ended the week above the 96.00 threshold. The US 10-year Treasury yield finished flat, at 1.482%. DXY Technical outlook: An upside break above an ascending triangle target 98.00. The US Dollar Index, also known as DXY, which measures the greenback’s performance against a basket of six rivals, slides 0.19%, sitting at

UK Brexit Minister Lord David Frost said on Twitter on Friday that the UK and EU had made further limited progress on medicines but we have not reached agreement.  1. @MarosSefcovic and I met by video today to wrap up this week’s talks process about the Northern Ireland Protocol. We have made further limited progress on

The EUR/USD pair stalled at 1.1350 first and now marginally below 1.1300 again. In the view of economists at ING, we would need to see a clear hawkish twist by the European Central bank (ECB) to turn the tide for the slightly overvalued and not clearly oversold euro. Hard to turn the tide “EUR/USD may

Bank of Canada Deputy Governor Toni Gravelle said on Thursday that concerns about upside inflation risks are heightened much more than usual. We are likely to react a little bit more readily to the upside risk given it’s already above our inflation-control range, Gravelle added. For reference, the bank’s inflation-control range is 1.0%-3.0%.  Market Reaction

Norway’s krone extended early-week gains yesterday, with EUR/NOK breaking below the 10.10 level and now trading around 10.06. In the view of economists at ING, NOK gains could pause today, but resume next week. Markets may have started to position for a hawkish tone by the Norges Bank “The improvement in Omicron-related sentiment is indeed

USD/JPY bulls moving in and eye a restest towards 115.20.  On the downside, 112.50 is an important level worth noting.  USD/JPY has corrected to into hourly support which gives rise to bullish prospects for the sessions ahead. The following illustrates, in a top-down analysis, the potential for a restest of the 114 area towards 115.20.

AUD/USD struggled to preserve/capitalize on its early move to a one-week high. Rising geopolitical tensions acted as a headwind for the perceived riskier aussie. Retreating US bond yields undermined the USD and could help limit the downside. The AUD/USD pair surrendered its intraday gains to a one-week high and was last seen hovering near the

GBP{/USD trapped within the 1.32’s, eyes on a significant upside correction.  The central bank divergences are laying into the hands of the GBP/USD bears.  GBP/USD is under pressure but remains within a 50 pip range with support within the 1.3200 vicinities. At the time of writing, cable is down some 0.25% trading between 1.3208 and

The bearish grip is still intact on the yellow metal. As FXStreet’s Dhwani Mehta notes, risks remain skewed to the downside amid ebbing Omicron fears. Risk-on mood at full steam amid easing Omicron fears “The risk-on flows remain in vogue, as China continues to pledge support measures to stimulate economic growth while global scientists and

The white-metal drops as the US 10-year bond yield rise nearly six basis points, underpinning the greenback. The US Dollar Index, which measures the buck’s performance against six rivals, advances almost 0.25%. XAG/USD 1-hour chart has a downward bias, as shown by hourly simple moving averages (SMA’s) residing above the price. Silver (XAG/USD) retreats from

GBP/JPY struggles to keep corrective pullback from 11-week lows. Bearish MACD signals, sustained trading below previous support keeps sellers hopeful. Weekly resistance, 10-DMA add to the upside filters. GBP/JPY buyers battle short-term key resistance, previous support, while taking rounds to 149.50-60 ahead of Monday’s London open. In doing so, the cross-currency pair keeps the bounce

GBP/USD Weekly Forecast: Another dollar surge? US inflation could outweigh Omicron, UK GDP Time to retire “transitory” – these hawkish words by Federal Reserve Chair Jerome Powell when referring to inflation have served as the tiebreaker in favor of the dollar. Fears of the Omicron covid variant have been intermixed with hope that it isn’t