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...
Gold prices fell more than 1% on Monday, pressured by a stronger dollar and diminishing expectations of a US interest rate cut next month, as investors awaited delayed economic data this week that could provide clues about the Federal Reserve's policy direction. At the time of writing, XAU/USD was trading at $4,030, weakening throughout the trading session due to the stronger dollar and hawkish comments from Federal Reserve officials. Therefore, currency markets have priced in less than a 50% chance of a 25 basis point (bps) interest rate cut at the December meeting. As a result, the US...
Oil reversed earlier losses as signs that activity had resumed at a key Russian port were countered by wider geopolitical risks to prices. Brent was marginally higher above $64 a barrel, after adding more than 2% on Friday following an attack on Russia's Novorossiysk facility. Two tankers moored on Sunday at the port, indicating operational activity. The attack on Novorossiysk, along with Iran's seizure of an oil tanker near the Strait of Hormuz, injected a fresh geopolitical premium into prices as the market faces pressure from an emerging global surplus. Traders are also...
Gold prices slipped slightly Monday, extending losses from the prior session as traders steadily pared back expectations that the Federal Reserve will cut interest rates next month. At 07:55 ET (12:55 GMT), Spot gold fell 0.1% to $4,078.60 an ounce and gold futures for December fell 0.3% to $4,081.06/oz. Bullion has been pressured of late, losing over 3% over the last month, pressured by a stronger dollar amid bets on delayed rate cuts and heightened economic uncertainty. Markets are now pricing in just over a 40% chance of a 25-basis-point rate cut next month, down from over 60% earlier...
Global silver prices have the potential to trend upward today, amid pressure from a strengthening US dollar and changing market expectations regarding the Fed's interest rate policy. Market participants have begun to reduce expectations of an interest rate cut at the December meeting, after several Fed officials struck a more cautious tone regarding the need for policy easing. As the chances of an interest rate cut narrow, yields on interest-bearing assets become relatively more attractive, and precious metals like silver are under pressure. On the other hand, silver is not only viewed as a...
The dollar rose versus all Group-of-10 peers except the Swedish krona, and stayed in tight ranges on aggregate, as traders waited for a new set of US economic data this week. The Bloomberg Dollar Spot Index rises as much as 0.2% before paring gains; the Bureau of Labor Statistics will release the September jobs report Thursday. One-week volatility comes under pressure as traders went long gamma last week, focusing on post Nov. 19 expiries. Hedging costs reflect little market concern for now over China escalating its confrontation with Japan over Prime Minister Sanae...
Oil prices fell Monday, handing back some of the strong gains seen at the end of last week, after Russia's Novorossiysk port resumed crude loadings, easing immediate concerns over supply disruption. At 04:35 ET (09:35 GMT), Brent Oil Futures expiring in January fell 0.7% to $63.97 per barrel and West Texas Intermediate WTI crude futures slipped 0.7% to $59.52 per barrel. Brent and WTI had surged more than 2% on Friday after Ukraine launched a high-profile attack on Novorossiysk and a nearby Caspian Pipeline Consortium terminal, causing damage and halting exports equivalent to roughly 2% of...
The Australian dollar fell to around $0.652 on Monday (November 17) after the US dollar strengthened sharply. The greenback's strengthening occurred because several Fed officials began to doubt the need for a December interest rate cut, with some even rejecting the possibility outright. The market, which previously estimated a 25 bps cut at nearly 88%, has now lowered it to around 46%. This global sentiment has also put pressure on the AUD. Domestically, Australian investors have also begun to lower their expectations for interest rate easing by the RBA. Stronger-than-expected employment...
Oil dropped following signs that activity had resumed at the key Russian port of Novorossiysk on the Black Sea, after a Ukrainian strike last week led to some damage and a suspension of operations. Brent slipped below $64 a barrel after closing more than 2% higher on Friday following the attack, and West Texas Intermediate fell toward $59. Two tankers moored on Sunday at Novorossiysk, indicating operational activity at the terminals, while Reuters reported that crude loading had resumed. The attack on the Russian port, along with Iran's seizure of a...
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....