European stock markets appeared calm on Tuesday, following a strong rally in the previous session. Major indices such as the STOXX 50 and STOXX 600 moved flat as investors chose to wait for new direction while assessing news from various major companies. The property and utilities sectors posted positive performances, followed by banking stocks, which also gained slightly. Conversely, stocks in the chemical and food and beverage sectors weakened. L'Oréal recorded a slight decline, while UniCredit rose slightly ahead of its latest financial report. On the positive side, Assa Abloy shares...
Gold (XAU/USD) extends its steady intraday descent through the first half of the European session on Wednesday and slides further below the $3,665 level, hitting a fresh daily low in the last hour. The US Dollar (USD) stages a modest bounce from its lowest level since early July amid some repositioning trade ahead of the pivotal FOMC decision and exerts some pressure on the precious metal. The commodity now seems to have snapped a three-day winning streak to the all-time peak touched on Tuesday, though the downside remains cushioned. Investors now seem convinced that the US Federal Reserve...
Silver fell more than 1% to around $42 per ounce on Wednesday, pulling back from 14-year highs as investors locked in profits ahead of the Federal Reserve's policy decision. The Fed is widely expected to cut rates by 25 basis points later today, with markets pricing in about 67 basis points of easing by year-end. Those expectations have been supported by signs of a cooling labor market, even as inflation holds above the Fed's 2% target. Investors will also focus on the Fed's quarterly Summary of Economic Projections, including the "dot plot" outlook for rates. Elsewhere, central banks in...
The dollar was on the defensive, shares edged lower, and gold scaled new heights on Wednesday as global markets counted down to an anticipated rate cut by the Federal Reserve later in the day and waited on signals around the extent of future easing. The euro surged to a four-year high against the greenback in the prior session on the Fed easing bets, while oil remained firm following Ukrainian drone attacks on Russian refineries and ports. The Fed is expected to cut its benchmark interest rate by a quarter of a percentage point to the 4.00%-4.25% range at the end of its monetary policy...
USD/JPY's bias favors a bearish breakout, based on technical charts, StoneX's Matt Simpson says in a commentary. The one-hour chart shows the currency pair's bearish momentum quickening into its lows, the senior market analyst notes. The so-called "cumulative volume delta" has stayed deeply negative, signaling most trades were bearish, Simpson says. While market participants should be on guard for near-term bounces of USD/JPY heading into the FOMC decision, the technical bias favours a bearish breakout overall, he says. A daily break beneath 145.75 opens up prospects of a further fall...
Gold held its latest gains that saw it rise above $3,700 an ounce for the first time, boosted by traders' bets for a rate cut at Wednesday's Federal Reserve meeting. Bullion traded less than $10 below its fresh record of $3,703.07 an ounce reached on Tuesday. It's also been buoyed by a softer US dollar, with one gauge hovering around levels last seen in March 2022. A weaker greenback makes gold cheaper for other currency holders. Traders are squarely focused on the outcome of the Fed's rate-setting meeting, where they see a quarter-point cut this week as a...