FXBANkthe8055

FXBANkthe8055

Gold futures slip 0.3% to $2,746.10 a troy ounce. The precious metal peaked on Wednesday at $2,772.60 an ounce. Over the weekend, Israel retaliated to early October's Iranian missile barrage with strikes on Iran. At first glance the retaliation seems relatively limited, and tensions could begin to subside in the short term, says Pepperstone's Michael Brown. This...

FXBANkthe8055

Goldman Sachs has exited its long GBP/CHF position with a small profit last week, noting that Sterling has underperformed its usual risk beta. Despite recent tactical setbacks influenced by Bank of England (BoE) Governor Bailey’s comments and geopolitical developments, Goldman Sachs maintains a constructive outlook on the British pound, supported by structural...

FXBANkthe8055

The S&P 500 and the Dow scored record closing highs on Friday, with the big boosts from financial stocks after banks reported strong quarterly results while the latest inflation data fueled expectations for a U.S. Federal Reserve rate cut in November. Major financial companies kicked off earnings season with JPMorgan Chase JPM finishing the session up 4.4%...

FXBANkthe8055

Global stocks rose on Friday, lifted by U.S. bank earnings, and on track for a weekly gain while U.S. Treasury yields were mostly lower after inflation and consumer confidence reports solidified expectations for the path of Federal Reserve rate cuts. The U.S. producer price index for final demand was unchanged in September, slightly below the forecast of...

FXBANkthe8055

The Canadian dollar fell to a two-month low against its U.S. counterpart on Friday as investors continued to weigh chances of the Bank of Canada supersizing its rate cuts after a downbeat business survey offset stronger-than-expected jobs data. The loonie USDCAD was trading 0.2% lower at 1.3760 per U.S. dollar, or 72.67 U.S. cents, after touching its weakest...

FXBANkthe8055

The U.S. producer price index for final demand was unchanged in September, slightly below the forecast of economists polled by Reuters for a gain of 0.1%. It followed an unrevised 0.2% increase in August, indicating inflation continues to cool and giving the Fed leeway to continue cutting interest rates. In the 12 months through September, the PPI increased 1.8%...

FXBANkthe8055

Global stocks rose on Friday, lifted by U.S. bank earnings, and on track for a weekly gain while U.S. Treasury yields were mostly lower after inflation and consumer confidence reports solidified expectations for the path of Federal Reserve rate cuts. The U.S. producer price index for final demand was unchanged in September, slightly below the forecast of...

FXBANkthe8055

** S&P 500 SPX advances fifth straight week, adds 1.1% as earnings season gets underway ** This as the bull market hits a birthday, and it still may be young at heart ** Indeed, SPX scores new highs, and has now posted its 45th record closing high so far this year ** Benchmark U.S. 10-year Treasury yield US10Y forges back over 4%, but streak may have it...

FXBANkthe8055

FX volatility is a key, yet unknown parameter of an FX option premium, so dealers use implied volatility as a stand in. If actual volatility matches implied volatility over the life of that option it should cover the premium, with the disparity potential making FX volatility a tradable asset. Implied volatility therefore represents the expected realised volatility...

FXBANkthe8055

Front Month Comex Silver for October delivery lost 60.80 cents per troy ounce, or 1.89% to $31.520 this week Largest one week net and percentage decline since the week ending Sept. 6, 2024 Snaps a four week winning streak Today it is up 51.50 cents or 1.66% Up for three consecutive sessions Up $1.165 or 3.84% over the last three sessions Largest three day dollar...

FXBANkthe8055

Front Month Comex Gold for October delivery gained $11.80 per troy ounce, or 0.45%(rounded) to $2657.60 this week Up for five consecutive weeks Up $164.10 or 6.58% over the last five weeks Largest five week net and percentage gain since the week ending April 26, 2024 Longest winning streak since the week ending April 19, 2024 when the market rose for five...

FXBANkthe8055

South Africa's rand softened on Wednesday, ahead of the closely watched minutes from the Federal Reserve's September meeting. At 1554 GMT, the rand traded at 17.6425 against the dollar USDZAR , about 0.3% weaker than its previous close. The dollar index DXY last traded up about 0.3% against a basket of currencies. "Dollar strength of late can be attributed...

FXBANkthe8055

The Mexican peso weakened past 19.4 per USD, moving further away from a two-week high of 19.27 reached on October 4, as investors evaluated the latest domestic inflation data while the US dollar gained ground. Mexico's core annual inflation rate fell to 3.91% in September, its lowest level since February 2021, down from 4% in August and slightly below...

FXBANkthe8055

For now, with inflation hovering above target, the BoE is likely to hold to its relatively hawkish narrative and remain on a slower rate cut pace. However, if inflation moves lower, as Bailey noted, a faster pace of cuts would likely put considerable downward pressure on GBP/USD, stirring a further reduction in net spec longs (1096742NNET).

FXBANkthe8055

For now, with inflation hovering above target, the BoE is likely to hold to its relatively hawkish narrative and remain on a slower rate cut pace. However, if inflation moves lower, as Bailey noted, a faster pace of cuts would likely put considerable downward pressure on GBP/USD, stirring a further reduction in net spec longs (1096742NNET).

FXBANkthe8055

Markets expect the Federal Reserve to cut rates by just 25 bps in November, rather than 50 bps, following the jobs data. According to CME's FedWatch tool, markets are pricing in a 85% chance of a quarter point cut, up from 47% a week ago, and a slim 0.15% prospect of no cut at all. A rise in the yield on the benchmark U.S. 10-year note US10Y above 4% for the...

FXBANkthe8055

Markets expect the Federal Reserve to cut rates by just 25 bps in November, rather than 50 bps, following the jobs data. According to CME's FedWatch tool, markets are pricing in a 85% chance of a quarter point cut, up from 47% a week ago, and a slim 0.15% prospect of no cut at all. A rise in the yield on the benchmark U.S. 10-year note US10Y above 4% for the...

FXBANkthe8055

"I don't think there is a major skew to FX or bond positioning going into NFP. Both USD bulls and USD bears continue to dabble tentatively, and then get rinsed. Over and over," said Donnelly, president at Spectra Markets and a veteran FX trader. "With big picture carry momentum halted by the MXN move, and yields already softening substantially this week, the...