Ichimoku Kinko Hyo CNH/JPY: The CNH/JPY pair is trading above the Kumo…
US Dollar bears return as risk on gains momentum
Information is not investment advice
Ichimoku Kinko Hyo
EUR/JPY: The pair is trading above the cloud. An upward pressure would lead the pair to exit further the cloud, confirming a bullish outlook.
XAU/USD: Gold facing a further consolidation the last hours and trading near 23.6% retracement area.
US Market View
U.S. stock markets opened mostly higher on Monday, with the technology nasdaq leading the way as last week's fears of inflation receded, bringing down long-term bond yields moderately. Early movers on Monday included Tesla stock. which rose 4.6% after fund manager Cathie Wood, who has placed one of the biggest institutional bets on the electric vehicles, said the stock should hit $3,000 by 2025, based on her expectations for its autonomous driving software and, to a lesser extent, the rollout of its insurance operations.
Rising numbers of Covid-19 infections from Europe to India and South America have cast doubt over whether the world economy will be able to recover at quite the speed currently expected.
European Union foreign ministers formally agreed on Monday to blacklist Chinese officials for human rights abuses, one EU diplomat said, the first sanctions against Beijing since an EU arms embargo in 1989 following the Tiananmen Square crackdown. The ministers approved the travel bans and asset freezes on four Chinese individuals and one entity, whose names will be made public later on Monday, accusing them of rights abuses against China's Uighur Muslim minority in Xinjiang
USA Key Point
- Fed's Powell: ‘’We do not want to destabilize with a central bank currency’’.
- Chicago Fed national activity index comes at -1.09 vs +0.71 than expected.
- CHF is the strongest and the USD is the weakest.
- ECB's Knot supports that 'Major part' of yield rise this year due to better fundamentals.
- Bundesbank says German economy likely to contract sharply in Q1 2021.
- Barclays expects a delay to Eurozone economic recovery.
- BOJ purchases ¥50.1 billion worth of ETFs today.
- AstraZeneca US phase III vaccine trial shows 79% efficacy in preventing symptomatic cases.
- UK PM Johnson: Effects of third wave coronavirus wave to be felt soon.
- EUR/JPY Price Analysis: Decent support now seen around 129.00.
In the middle of September 2022, the Canadian dollar has fallen to a 2-year low against the USD.
The US dollar index has all chances of reaching the 2000s high of 120.00.
Many investors treated gold as a protection against inflation. However, last week, gold lost its major support and dropped despite rising inflation. Why did it act like this?