Wall Street appears to be closing out the week on a down note as investors become rattled over the prospect of more tightening by the Fed. It isn’t just Fed expectations that are rising, traders are also expecting the ECB to send rates much higher. It looks like global growth will definitely take a harder hit as monetary policy gets even more restrictive over the next few months. More from the Fed Fed’s Bowman reiterated inflation is still too high and that they need to continue hikes until we see more progress. She did note the Fed is seeing a lot of inconsistent data in economic conditions. It doesn’t look there is a chance that the Fed will be holding anytime soon, which should keep sending yields … [Read More...]
Back to winning ways
How sustainable is it? Another positive session in equity markets as bargain hunters are tempted back in to cap off the first winning week in eight in the US. It’s been a rough ride and despite this week’s performance, there could still be more pain to come. But at these levels, it’s only natural that the vultures are circling. There isn’t a huge amount to be excited about on inflation, interest rates and the economy but that doesn’t mean there isn’t value out there. The US inflation, income and spending data today was a mixed bag. Income fell short of expectations while households maintained strong spending thanks to excess pandemic savings. That can be sustained for some time but whether it … [Read More...]
Market Insights Podcast (Episode 331)
Jonny Hart looks back on the week’s business and markets news with OANDA Senior Market Analyst Ed Moya in New York. This week they discuss the S&P 500 index decline to bear market territory, the oil market, and if king dollar’s reign is over. They also discuss what the week ahead has in store for financial markets. [Read More...]
Precious metal: the gold-standard investment when a crisis hits?
Fuelled by low interest rates and the prospect of a recession, gold has hit record highs. So is it worth buying now? As the coronavirus pandemic causes havoc in economies around the world, interest rates circle around zero and fears continue about economic trade wars, there is one investment that is prospering – gold.The precious metal has seen record highs this year prompted by a surge in interest from investors – both individuals and institutions – looking for a stable place for their cash as governments grapple to bring in post-pandemic recoveries while exiting lockdowns, and the prospect of a recession looms large. Continue reading… [Read More...]
Gold Tops $1,900 Before Paring Gains, Poised for Monster Week
Gold futures topped $1,900 to finish the trading week before giving up some of their gains. The yellow metal will record a huge weekly gain a weaker US dollar, escalating US-China tensions, and global economic uncertainty due to the coronavirus pandemic elevated gold prices. Now that the precious metal has topped $1,900 twice this week, is $2,000 the next stop? August gold futures rose $6.70, or 0.35%, to $1,896.70 per ounce at 17:02 GMT on Friday on the Comex division of the New York Mercantile Exchange. Gold is on track for a 5% weekly surge, bringing its year-to-date gain to 25%. The record intraday high for gold stands at $1,923.70 per ounce which occurred in September 2011. The highest the August contract rallied to was $1,904.60 … [Read More...]
Gold Posts Sixth Straight Weekly Gain Amid Uncertainty, Additional Stimulus
Gold futures are recording their sixth consecutive weekly gain as investors await additional fiscal and monetary stimulus in US and Europe. The yellow metal is also trading at a nine-year high over uncertainty in the broader global financial market amid surging COVID-19 cases. With gold continually trading at around $1,800, is the precious metal ready to test $1,900? August gold futures rose $11.80, or 0.66%, to $1,812.20 per ounce at 19:15 GMT on Friday on the Comex division of the New York Mercantile Exchange. Gold prices will enjoy a 0.6% weekly gain, adding to its year-to-date surge of 20%. The big story for the yellow metal is that is has enjoyed six straight weekly gains. Silver, the sister commodity to gold, is closing in on … [Read More...]
Gold Plunges 1% on Stock Market Rally, COVID-19 Vaccine Candidate
Gold futures are slumping more than 1% on Monday as the US stock market rallies to kick off the trading week. The yellow metal had been trading at its best level in one month on bearish sentiment and inflation concerns, but after the US central bank suggested a vaccine will be the only way to initiate a recovery, investors hit the buy button. June gold futures tumbled $22.30, or 1.27%, to $1,734.00 per ounce at 16:59 GMT on Monday on the Comex division of the New York Mercantile Exchange. Gold prices just came off a 3% weekly increase, bringing their year-to-date gains to around 15%. Silver, the sister commodity to gold, is maintaining the momentum it had at the start of the trading session. July silver … [Read More...]
‘Digital Gold’ Crypto Asset BitGesell Announces Listing on Hotbit Exchange
Bitcoin press release: With its latest listing on the HotBit Exchange, BitGesell coin (BGL) continues to prove that a decentralized architecture designed to overcome Bitcoin’s shortcomings will have the support of stakeholders in a crypto ecosystem, betting on intrinsic features like transactional coin burning that can establish BGL as true digital gold. 11th June 2020, Amsterdam, Netherlands – Crypto asset BitGesell is quickly shaping up to be one of this year’s most promising projects, focusing on practical application with incentive propositions that appeal directly to miners, investors and network participants. Its latest listing on popular crypto exchange HotBit Exchange is only the latest milestone for BGL, now allowing better access via trading on the open market, to allow more people to experience what it really means to own … [Read More...]
Week Ahead – Market Recovery Under Threat?
The New Normal Another crazy week comes and goes and thing that has really stuck with me is how normal the extraordinary suddenly seems. On Thursday, the Dow fell almost 7% and, sure, it was newsworthy but it wasn’t shocking. This is the 22nd biggest ever drop in the index – going back more than 100 years – and yet this year it doesn’t even make the top three. This could be a sign of the fragility that remains in the markets but then, the NASDAQ hit new record highs in each of the prior four days and breached 10,000 for the first time ever. This comes before the end of what could be the worst quarter in a century for the economy. Incredible. Speculation around new … [Read More...]
NFP Update: The Recovery already started, Stocks and Treasuries soar, Oil’s NFP bounce hits a wall, Gold tanks on robust labor report
US stocks continue to rock and roll after a better than expected nonfarm payroll report suggest the economic recovery already began in May. It is not often you get the headline number and all the components help paint a positive picture of the economy. Payrolls unexpectedly showed 2.5 million jobs were created in May. The unemployment rate declined to 13.3% and came in much lower than consensus estimate of 19.0%. Average hourly earnings fell, which is most likely a reflection lower paying jobs came back. The average weekly hours rose strongly to 34.7 hours. This nonfarm payroll report was supposed to provide a baseline on how bad things got and not that the recovery was already taking hold in May. Now financial markets can move forward and it will … [Read More...]
Gold Rises on US-China Tensions, Posts Weekly Loss
Gold futures are rising to finish the trading week, but they are still poised for a weekly loss. The yellow metal has been impacted by growing investor sentiment over economies reopening, plus Modern’s Coronavirus vaccine development affected gold prices. But a renewed US-China spat, as well as geopolitical tensions, could help gold pare its losses during the holiday-shortened trading week. June gold futures tacked on $11.10, or 0.64%, to $1,733.00 per ounce at 18:33 GMT on Friday on the Comex division of the New York Mercantile Exchange. Gold took a breather from its 14% year-to-date surge as prices fell about 1.2% this week. Silver, the sister commodity to gold, is also continuing its upward ascent to close out the trading week. July silver futures … [Read More...]
Mid-Market Update: Fauci optimism and more stimulus lift stocks off lows, China nightmare sinks oil and drives gold higher
Treasuries climbed as stocks traded mixed as investors evaluated the latest news on China’s biggest political event, vaccine optimism from Dr Fauci, gradual lifting of coronavirus lockdowns and rising expectations for more stimulus to come to the world’s largest economy. Global equities are lower after China’s released a new bill that will tighten its control on Hong Kong, another log being thrown into the fire that is tensions between the world’s two largest economies. The recent rebound in equities had signs of exhaustion before this latest turmoil in Asia. Risk aversion however is not getting a free pass, as the voice of reason throughout this pandemic, Dr Fauci remains optimistic with vaccine hopes. Dr. Fauci noted that he looked at the Moderna data himself and that it … [Read More...]
Gold Hits One-Month High on US-China Tensions, Bleak Data
Gold futures are trading at their best levels in one month, buoyed by rising trade tensions between the world’s two largest economies and disappointing US economic data. If these trends persist, could the yellow metal test $1,800 next week? With the war of words escalating in Washington and Beijing, the odds of gold prices advancing to a record high are increasing. June gold futures advanced $11.10, or 0.64%, to $1,752.00 per ounce at 18:39 GMT on Friday on the Comex division of the New York Mercantile Exchange. This is the best level in a month. Gold settled the week up just under 3%, lifting its year-to-date gain to more than 15%. Silver, the sister commodity to gold, is recording a monster rally to close out the … [Read More...]
Gold Slides As Markets Brush Off Historic April Jobs Report
Gold futures are sliding to end the trading week as financial markets shrugged off the historic April jobs report. The yellow metal’s drop was capped by a weaker US dollar, helping prices squeak out a tepid weekly gain. With bullish optimism prevalent throughout the equities arena, will gold continually trade around $1,700, or will it test $1,800 this month? June gold futures tumbled $9.70, or 0.56%, to $1,716.10 per ounce at 16:47 GMT on Friday on the Comex division of the New York Mercantile Exchange. Gold is poised for a weekly jump of about 0.4%, bringing its year-to-date surge to 13%. Silver, the sister commodity to gold, is rallying to finish the trading week. July silver futures tacked on $0.185, or 1.19%, to $15.775 per … [Read More...]
Gold Retreats to $1,700 on Diminished Haven Appeal Over COVID-19 Optimism
Gold futures are retreating to $1,700 at the end of the trading week on broader economic optimism. US financial markets rallied on Friday after it was reported that the US government is considering reopening the country, and the pharmaceutical industry could be close to developing coronavirus treatments. Will this erase analysts’ opinions that gold prices could eye $2,000 by the end of the year? June gold futures plunged $28.10, or 1.62%, to $1,703.30 per ounce at 16:46 GMT on Friday on the Comex division of the New York Mercantile Exchange. Gold prices are also set to post a weekly loss of 2.2%, paring their year-to-date gains to around 12%. Silver, the sister commodity to gold, is also sliding to finish the trading week. May silver futures … [Read More...]
Gold Slumps on Profit-Taking, Poised for Best Week Since 2008
Gold futures are slumping at the end of the trading week as investors potentially hit the sell button and took the profits, which is evident in the broader market on Friday. The yellow metal is still on track for its best week in more than a decade, driven by investors seeking shelter from the global market chaos. April gold futures tumbled $20.60, or 1.4%, to $1,630.60 per ounce at 16:56 GMT on Friday on the Comex division of the New York Mercantile Exchange. Despite the big drop, gold is poised for a weekly gain of around 9%, lifting its year-to-date jump to 7.3%. This is the best weekly performance since 2008. Silver, the sister commodity to gold, is also in the red to finish the trading week. … [Read More...]
Gold Rises on Renewed Safe-Haven Appeal, Weaker Dollar
Gold futures are trading higher to finish a turbulent trading week, but they are still on track for a huge weekly loss. The yellow metal is finding support on renewed safe-haven appeal and a lower US dollar. Gold has experienced a significant plunge throughout the market crash as investors liquidate their assets, including gold, to cover margin calls and to build their cash positions. April gold futures jumped $9.10, or 0.62%, to $1,488.50 per ounce at 17:01 GMT on Friday on the Comex division of the New York Mercantile Exchange. Despite the end-of-week push, gold is poised for a weekly decline of about 3%. Year-to-date, gold is down just 2%. Silver, the sister commodity to gold, is rallying to close out the trading … [Read More...]
Gold Craters 4%, Poised for Huge Weekly Plunge Amid Market Crash
Gold futures are cratering to finish the chaotic trading week, collapsing more than 4% as the rest of the US financial market rebounds. The yellow metal is set for a huge weekly drop as investors sold off their gold holdings to cover their margins. With equities seemingly calm due to central bank action, can the precious metal stage a rally next week? May gold futures crashed $71.10, or 4.47%, to $1,519.20 per ounce at 17:18 GMT on Friday on the Comex division of the New York Mercantile Exchange. Gold prices are on track for a weekly loss of nearly 6%, wiping out most of their 2020 gains. Year-to-date, gold is still up about 4%. Silver, the sister commodity to gold, is also continuing its downward trend at … [Read More...]
Gold Crashes 4% Below $1,600 As Coronavirus Wreaks Market Havoc
Gold futures are cratering at the end of the trading week, mirroring the rest of the market performance in recent sessions. Despite the yellow metal being a traditional safe-haven for these types of events, investors are not pouring their money into any of the precious metals on Friday. Is there any refuge for the $6 trillion that went off this week? April gold futures crashed $59.80, or 3.65%, to $1,582.70 per ounce at 15:16 GMT on Friday on the Comex division of the New York Mercantile Exchange. Gold prices will settle the week down just under 4%, but they are still up more than 4% year-to-date. Gold is poised for another monthly gain of 3%. Silver, the sister commodity to gold, is also plunging to … [Read More...]
Gold Surges to Seven-Year High as Coronavirus Fears Resurface
Gold futures are trading at their best levels in seven years as the yellow metal is rallying to finish the trading week. With equities posting steep losses, investors are diving into the safe-haven asset and helping gold eye the crucial $1,650 mark. A plummeting US dollar is also lifting the precious metals. April gold futures surged $23.30, or 1.44%, to $1,643.80 per ounce at 16:12 GMT on Friday on the Comex division of the New York Mercantile Exchange. Gold is poised for a weekly jump of more than 3.5%, advancing about 8% year-to-date. Silver, the sister commodity to gold, is also rallying to close out the trading week. March silver futures rose $0.17, or 0.92%, to $18.49 per ounce. The white metal will post a … [Read More...]