USD inflation interest rates, and economic policy remain a persistent challenge. As 2024 closes, the interplay of these factors is shaping the USD’s trajectory amid a complex macroeconomic environment.This week, the Federal Reserve’s preferred inflation gauge, the Personal Consumption Expenditures (PCE) Index, is in focus, with expectations that core inflation will remain sticky. Core Consumer…
EUR/GBP rallies back up to the 50-day SMA in the mid 0.8300s. The Pound is depreciating on doubts about the robustness of the UK economy. The Euro itself has problems, however, after another poor set of poor figures from Germany. EUR/GBP trades back up to the level of the 50-day Simple Moving Average (SMA) at…
Gold prices rally 1.50% on Friday, boosted by a decrease in US 10-year Treasury yields to 4.40%. Escalating geopolitical concerns, including potential expansion of the Russia-Ukraine conflict, fuel demand for Bullion’s safe-haven status. US economic data shows mixed signals; Services and Composite PMIs outperform while Manufacturing PMI remains in contraction. Gold price rallies to a…
Mexican Peso makes a late session recovery, supported by strong Q3 GDP figures and lower mid-month inflation. Concerns linger as Mexico’s legislative changes could impact its status in the USMCA agreement, potentially affecting trade dynamics. Banxico Governor indicates readiness to cut rates further if inflation trends continue downward, influencing Peso’s strength. US economic data, including…
Mexican Peso continues its upward trend for the fourth consecutive day amid favorable risk sentiment. Banxico’s recent rate cut to 10.25% reflects ongoing inflation concerns with forecasts adjusted to 4.7% end for 2024. Moody’s adjustment of Mexico’s credit outlook to negative highlights potential fiscal and economic challenges from judicial reforms. Traders monitor potential impact of…
EUR/GBP bounced from multi-year lows after weak UK labor market data led to a sell-off in the Pound. The pair remains pressured, however, by risks to the outlook for the Eurozone as the US gears up to implement tariffs. Political uncertainty in Germany and the Pound’s positive relationship to risk are further bearish factors for…
The Mexican Peso weakens on rumors Donald Trump has offered the job of trade representative to Robert Lighthizer. The former US trade rep is known for his protectionist stance and could squeeze Mexico in future talks. The Peso is further weighed by concerns the Republicans will win a majority in Congress, giving them a “clean…
Gold goes out of favor as capital piles into the US Dollar, Bitcoin and Stocks. Donald Trump is now expected almost certainly to be the next US President. Technically, XAU/USD extends its short-term downtrend to key support. Gold (XAU/USD) trades down by half a percent in the $2,720s on Wednesday due to the US Dollar…
Mexican Peso tanks as USD/MXN rises over 1.50% weekly, reaching new yearly highs. US Dollar Index climbs as Treasury yields jump, boosting Greenback strength. Mexican economic data shows resilience, but US elections add uncertainty for emerging market currencies. The Mexican Peso depreciated sharply against the Greenback on Friday and recorded new yearly highs of 20.29,…
Gold remains elevated amid renewed Middle East hostilities. US election uncertainty adds to gold’s appeal, with polls showing a tight race between Trump and Biden in key swing states. Rising US Treasury yields and a rebounding Dollar cap gains, with DXY up 0.29% and limiting further upside for the yellow metal. Gold price remains firm…