News

The gold price has mostly ignored the turmoil of US Dollar movements upending other markets this week as the Federal Reserve’s rate path provides the impetus for volatility.

Did Powell cap interest rate expectations and in turn revive the Dow and other risk benchmarks? More likely, fed rate expectations fueled by last week’s strong data run has likely find a natural equilibrium; but that means risk trends and the Dollar need a new guiding fundamental light to render tentative breaks into viable trends.

From its peak above 1.1000 last week, EURUSD has produced a significant reversal that has undermined a rising channel/wedge stretching back to November. Yet, bearish momentum started to flag this past session between a leveling of US rates and in the aftermath of remarks from Fed Chairman Powell.

The U.S. dollar looks to be set on a hawkish address by Fed Chair Jerome Powell with the DXY trading at a key resistance zone.

USD/ZAR Price action has stalled after a brief retest of 17.700. As Eskom continues to place pressure on the EM currency, technical levels hold firm.

GBP/USD appears vulnerable as markets await comments from Fed Chair Powell. Hawkish rhetoric from the Fed Chair likely to keep the greenback supported.

BP’s record profit helps drive the UK index higher just days after Shell smashed its previous best earnings. Oil, mining, and financials continue to lead the index

US Treasury yields have re-priced sharply higher after last Friday’s NFP report and this has left gold vulnerable to further losses in the short term.