FX

Gold sold-off 2% on Friday, loses $56 on the week. XAU/USD could see a quick pullback before the downside resumes. Daily RSI has pierced through the midline, into the bearish zone. Gold (XAU/USD) recovered some ground into the weekly closing, although booked a 2% loss on Friday. The sell-off knocked-off the metal to the weakest levels

Gold (XAU/USD) wilted on Friday as Treasury yields surged on strengthening risk-on flows amid expectations of higher fiscal stimulus under Biden’s presidency. Prospects of a smooth transition of power in Washington eased political uncertainty, which further added to the weight on the safe-haven gold. The metal lost $70 and touched three-week lows at $1828.62 before

Friday saw the S&P 500 and Nasdaq 100 hit and close at all-time highs. “The market is now anticipating a massive amount of stimulus, a CARES act part two and a massive infrastructure program”. A downbeat jobs report for December was broadly ignored, with the market “living in the future”. Friday saw the S&P 500

The Chinese economy is expected to grow by 7.9% in 2021 after expanding by 1.9% in 2020, the International Monetary Fund (IMF) said in a report summarizing its annual economic consultation with China, as reported by Reuters. “China should keep moderate policy support until the economic recovery is on a solid footing,” the IMF recommended.

A hunt for yield in emerging market currencies could keep the US dollar on the offer longer than previously expected, according to a majority of 70 foreign exchange strategists polled by Reuters between Jan. 4-7. Key points (Source: Reuters) 35 of 63 analysts – or around 55% – predicted the dollar’s weakening trend would last

The S&P 500 Index has neutralized its recent bearish “reversal day” but has been unable to sustain its brief move to a new high and the Credit Suisse analyst team remains wary of directly chasing further strength for now. Key quotes “S&P 500 has neutralized its recent bearish ‘reversal day’ on even higher volume but

GBP/JPY keeps bounces off short-term horizontal support, 100-bar SMA. MACD flirts with bulls as the quote keeps Wednesday’s gains. A Three-week-old ascending trend line lures the bulls. GBP/JPY prints mild gains above 140.00, currently around 140.25, during Thursday’s Asian session. In doing so, the pair retains the early week’s recovery moves from late-December lows and

USD/CAD is falling for the second straight day on Wednesday. WTI trades in the positive territory above $50. USD selloff remains intact ahead of US data, FOMC Minutes. The USD/CAD pair closed in the positive territory on Tuesday as surging crude oil prices helped the CAD outperform its rivals. With the oil rally remaining intact

NZD/USD wavers in a choppy range between 0.7250 and 0.7260 after refreshing multi-month high the previous day. Return of risks refreshed US dollar declines, backed commodities and Antipodeans, NZ GDT also favored buyers. Noise surrounding China ignored, vaccine hopes battle virus woes. China’s Caixin Services PMI, Georgia runoff will be important to watch. NZD/USD buyers

The Chinese renminbi has continued to strengthen overnight after USD/CNY broke back below the 6.5000-level at the start of the New Year. Market participants will be watching closely for any potential shift in stance towards China from the incoming Biden administration in the coming months. Renminbi weakness during President Trump’s time in power has already

The British Prime Minister Boris Johnson is speaking shortly to announce a third national lockdown for England where level 5 restrictions could come into play. Watch live here [embedded content] Key announcements The new variant is 50-70% more transmissible. Hospitals under more pressure than at any time since the pandemic. We need to do more together. 

GBP/USD begins the new year on a positive note and nearing 1.37 – extending its gains after the UK is fully out of the EU, Axel Rudolph, Senior FICC Technical Analyst at Commerzbank, reports.   Key quotes “GBP/USD continues to rise after Brexit and should shortly encounter the 1.3712 February 2018 low and 1.3836, the February

Here is what you need to know on Monday, January 4: The dollar closed the year on a weak note and may remain under selling pressure. Wall Street kept advancing, adding pressure on the greenback. The DJIA and the S&P closed at record highs. The shared currency eased on profit-taking but held above 1.2200 against its

EUR/USD gives up some ground after reaching a fresh 2020 high on Wednesday at 1.2309. The pair is quiet in ultra-thin market conditions as the world celebrates Year-End but the rally is set to continue, according to FXStreet’s Chief Analyst Valeria Bednarik. Key quotes “The US has just released Initial Jobless Claims for the week

Spot silver prices are off highs set during Asia Pacific trade and thus trade lower on the day. The technical picture looks bullish, however, though further gains are likely to wait until January. Spot silver was the best performing precious metal in 2020 after years of underperformance. Spot silver (XAG/USD) prices broke to the upside of

EUR/USD is posting modest daily losses on Thursday. Profit-taking ahead of the New Year holiday seems to be weighing on the EUR. EUR/USD is up more than 2% for the second straight month in December. After closing the previous four trading days in the positive territory, the EUR/USD pair edged slightly lower on the last

GBP/USD is finishing the year on the front foot amid a weaker USD. Sterling traders continue to mull the themes of UK lockdowns, vaccination and continued Brexit negotiations into 2021. GBP/USD is finishing the year on the front foot, with the pair crossing above the 1.3650 mark for the first time since May 2018 and

Gold have the best year since 2010, rising $350 or 22%. XAU/USD continues to test the $1900 area, a critical short-term resistance. Gold is about to end the year with a bullish bias, testing the $1900 barrier, supported by a US dollar decline. It gained 22% over the year and hit a record high at