Oil traders overreacting to the wrong triggers?
Divisions within OPEC have caused WTI crude to fall below $74 per barrel, ending a three-day climb for the commodity.
Angola, which joined OPEC in 2007, said it is leaving the Organization of the Petroleum Exporting Countries. This move raised concerns about OPEC's capacity to stabilize global prices,...
Nasdaq weakness before Christmas?
Barely hanging on to gains in a streak lasting ten days, US stocks managed to recover from initial losses and were trading slightly higher on Wednesday. The attempt to secure a tenth consecutive session of gains pushed the Nasdaq 100 to a new record high of 16,830.
In December, the Nasdaq has seen an increase of over 5%, and...
What's next for Gold after $2,100 record? PCE report in sight
As attention in the financial markets shifts towards the upcoming US Personal Consumption Expenditures (PCE) inflation report set for release on Friday, its significance becomes apparent. This report holds the potential to provide crucial insights into future monetary policy adjustments. Moreover, its...
Oil's Next Move: Red Sea Conflict and $75?
BP has suspended all oil and gas shipments through the Red Sea due to a rise in attacks on cargo ships and a deteriorating security situation attributed to Iran-aligned Houthi militants in Yemen. This move has caused a 2% surge in oil prices, pushing WTI crude futures to $72.5 per barrel.
This development signals the...
Data emanating from Britain and Japan this week could mean that the GBPJPY is the currency to watch this week.
Japan's Bank of Japan (BoJ) is set to announce its final interest rate decision of the year on Monday.
Expectations from the BoJ are a little uncertain, prompted by remarks from Governor Ueda. Among various statements, he noted that the management of...
The Federal Reserve kept its interest rate as 5.25%-5.5% for its December 2023 decision (staying unchanged for a third consecutive meeting). This was in line with expectations, but the big news is that they indicated 75bps cuts in 2024.
This revelation has weakened the USD across the board with the Aussie dollar the best performer at +1.3%. GBP/USD and EUR/USD...
The US Federal Reserve (Fed) is set to announce its decision on Wednesday, followed by the Bank of Mexico (Banxico) on Thursday. Forecasts suggest that both central banks will maintain their current interest rates.
Recent indications from Banxico suggest a leaning towards a more accommodative monetary policy. However, Deputy Governor Irene Espinosa has expressed...
The market's attention will be fixed on the Federal Reserve's final policy meeting of 2023 scheduled for this Wednesday, with the expectation that the US will maintain interest rates at a 22-year high.
Investors will have an opportunity to scrutinize the Fed's statement and Chair Jerome Powell's press conference for any indications of potential rate cuts in 2024...
There is currently a 21% probability that the Bank of Japan (BoJ) will raise interest rates during its upcoming meeting on December 19. This would really send shockwaves through yen pairs on the day.
Yesterday’s huge gains in the yen against the US dollar and British pound are just a glimpse of the possible volatility this action could cause.
Yesterday BoJ...
In recent days, gold has seen a remarkable surge, reaching an all-time high of $2070, fueled by growing speculation surrounding the Federal Reserve's potential monetary easing in 2024. This surge coincides with mounting signs of a cooling U.S. labor market, which has captured the attention of traders and investors alike.
Traders are currently factoring in a 60%...
Digital gold up (BTC), spot gold down (XAU)
Bitcoin, often referred to as digital gold, has surged again, extending above $43,000. The crypto has maintained its positive momentum for five consecutive days now, marking a 15% increase over this period. At present, the price hovers around $43,300, after pulling back from a recent high of $44,011.
From a technical...
Bitcoin Peaks at $42,000 - What's Next?
In a new surge of momentum fueled by widespread optimism that the U.S. securities regulator may soon approve a spot bitcoin ETF, Bitcoin briefly surpassing $42,000 to reach a 20-month high.
There is a sense of optimism in the space regarding the potential approval of a bitcoin exchange-traded fund (ETF) by the U.S....
US dollar
Attention will be paid to key economic indicators that roll out over the course of the week such as the Non-farm Payrolls jobs report, JOLTs job openings, and the ISM Services PMI survey.
Moody's analysis suggests a cooling down of various labor market measures. The uptick in November jobs growth is attributed to the impact of the United Auto Workers...
After the latest OPEC+ meeting, the price of WTI crude oil dropped more than 2% to $75 per barrel, ending a two-day win streak.
During the meeting, OPEC+ agreed to cut oil production early next year by almost 2 million barrels per day (bpd). This decision was spurred by worries about having too much oil in the market coinciding with the end of Saudi Arabia's...
Will Berkshire Hathaway investors panic when Warren Buffet passes away?
Few companies are as closely tied to their leaders as Berkshire is to Warren Buffett and was to Charlie Munger.
Munger's recent passing, who served as Berkshire's vice chairman since 1978, signifies the end of an era for the company. While Munger's role was significant, Buffett's...
Morgan Stanely has released what they call their top trade for 2024, and it is the exact opposite of Bank of America’s call.
Analysts at Morgan Stanley think selling EUR/USD around the current level of 1.10 is the trade to make next year, with a target for the pair reaching parity by the end of the first quarter of 2024. This outlook relies on sustained economic...
Gold reclaimed the US$2,000 threshold yesterday, marking its return to this level for the first time since May, after the US dollar weakened against most major currencies on Monday. The US dollar is now on track for its largest monthly decline in a year, largely because the market is anticipating that the Federal Reserve might initiate interest rate cuts in the...
The AUDUSD and NZDUSD led the rally against the US dollar yesterday and are doing the same again today.
The surprising low inflation number from the US is what caused the rally yesterday. But today we have a new event that could be driving sentiment in these pairs. This event is still underway, so it still to play out completely, and its consequences still to be...
