Gold prices briefly caused a stir after hitting a new record, but then slowed. The main trigger: US President Donald Trump withheld the threat of tariffs on Europe and claimed there was a "framework" for a future agreement on Greenland. This calmer tone made the market a little more willing to take risks, thus easing the pressure to buy gold as a safe haven. However, the big picture hasn't changed: gold remains in high territory because the world remains filled with uncertainty. Trade wars could resurface at any time, geopolitical tensions haven't completely subsided, and investors are...
Silver prices (XAG/USD) rose more than 0.5%, trading around $38.80 per troy ounce in early European trading on Thursday (August 28th). Non-yielding silver prices strengthened amid the increasing likelihood of an interest rate cut by the US Federal Reserve (Fed). Lower interest rates reduce the opportunity cost of holding precious metals compared to interest-bearing assets, making silver more attractive. Traders now price an 88% chance of a rate cut of at least a quarter point at the Fed's September meeting, up from 82% the previous week, according to the CME FedWatch tool. This shift...
Oil prices fell on Thursday after rising in the previous session as investors weighed expectations for lower U.S. fuel demand with the end of the summer demand season nearing and focused on India's response to punitive U.S. tariffs. Brent crude futures dropped 63 cents, or 0.91%, to $67.43 at 0502 GMT, and West Texas Intermediate (WTI) crude futures dropped 62 cents, or 0.97%, to $63.55. Both contracts climbed in the prior session after the U.S. Energy Information Administration reported that U.S. crude inventories fell by 2.4 million barrels in the week ended August 22, compared with...
Silver climbed above $38.6 per ounce on Thursday, trading near one-month highs as the dollar retreated on growing expectations of a US Federal Reserve rate cut next month. Markets now assign an 89% probability of a 25 basis point cut in September, up from 82% a week earlier. The shift came as President Donald Trump sought to exert greater influence over the central bank after attempting to remove Fed Governor Lisa Cook and replace her with a more dovish candidate. On the industrial side, silver demand drew support from robust photovoltaic sector data in China. Recent figures showed Chinese...
The Australian dollar appreciated to above $0.650 on Thursday, extending its rally for the third consecutive session, supported by tempered expectations of another near-term rate cut from the Reserve Bank of Australia. Market pricing now implies only around 34 basis points of additional easing for the rest of 2025, with the likelihood of a September move slipping to about 25%. Analysts expect the central bank to wait until the November meeting before resuming its easing cycle. The Aussie also drew support from a softer US dollar, as traders ramped up bets on a September Fed rate cut after...
Gold dipped to around $3,380 per ounce on Thursday, retreating from a two-week high as investors awaited fresh policy signals ahead of Friday's PCE price index, the Fed's preferred inflation gauge. Nevertheless, the metal held near record levels, supported by political and institutional uncertainty between the US administration and the Federal Reserve. President Trump recently moved to dismiss Fed Governor Lisa Cook, but her lawyer vowed to challenge the decision in court, setting up a legal battle. Traders also increased bets on Fed easing, with markets pricing an 89% chance of a 25 bps...
The US dollar started Thursday (August 28th) weakly at $98.13 after market speculation increased that a Fed rate cut would occur in September, following a signal from New York Fed President John Williams that a cut was "possible." Pressure also stemmed from President Donald Trump's increasingly aggressive efforts to influence monetary policy, attempting to fire Fed Chair Lisa Cook and replace her with a more dovish figure. In the foreign exchange market, the DXY held steady at 98.135 after two days of declines. The euro edged up to $1.1646 despite the heated French political situation,...
Gold edges lower in early Asian trade as investors continue to weigh the impact of a legal battle between Trump and Fed governor Lisa Cook. However, gold demand in Asia remains robust, with China's July net imports via Hong Kong more than doubling from June, Traze.com analyst Osama Al Saifi notes. Investors will pay attention to U.S. PCE data due Friday. The data could shape expectations after Powell's dovish tone at Jackson Hole, Al Saifi adds. Spot gold is 0.1% lower at $3,396.56/oz. Source: Bloomberg
Oil edged lower as traders looked past US efforts to force India to quit buying Russian crude, and broader markets carried a risk-off tone. West Texas Intermediate fell below $64 a barrel, while Brent closed above $68. White House trade adviser Peter Navarro stepped up the pressure on New Delhi to halt purchases of Russian energy after Washington doubled a levy on imports from the country to 50%. Calling Indians "arrogant," he cast the conflict in Ukraine as "Modi's war," referencing the Indian prime minister. Financial markets including stocks were softer in...
Gold rises in the early Asian trade. There's a broad commodities uptrend, driven by macro uncertainty, a weaker dollar, and persistent demand for "hard" assets, says Fawad Razaqzada, market analyst...
Oil extended declines after OPEC+ agreed to a bigger-than-expected production increase next month, raising concerns about oversupply just as US tariffs fan fears about the demand outlook.
Brent...
The Japanese Yen (JPY) weakened against its US counterpart and reversed part of Friday's recovery from the lowest level since July 23 following Bank of Japan (BOJ) Governor Kazuo Ueda's remarks....