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Gold prices surged to a record high on Wednesday as the conflicts in the Middle East and uncertainty surrounding the upcoming U.S. election spurred demand for safe-haven assets. FUNDAMENTALS * Spot gold was little changed at $2,746.25 per ounce, as of 23:45 GMT, after hitting its highest level at 2749.07 earlier in the session. *
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Sterling weakened broadly in a subdued trading today, with no significant data releases to drive market activity. Investors are awaiting BoE Governor Andrew Bailey’s upcoming speech, where he might reaffirm a dovish tone. Earlier this month, in an interview with The Guardian, Bailey hinted at the possibility of becoming “a bit more activist” and cutting
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Japanese Yen’s broad selloff intensified during the quiet Asian trading session today, with the currency continuing to weaken against major counterparts. A key factor behind Yen’s decline is the ongoing surge in US and European bond yields, which diminishes the appeal of the low-yielding Yen. More striking, however, is the apparent silence from Japanese authorities,
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Extreme tariffs proposed by U.S. presidential candidate Donald Trump would interrupt the path of disinflation and could lead to higher interest rates, according to the head of the Institute of International Finance. “The assumption is you’ll have higher inflation, higher interest rates than you would have in the absence of those tariffs,” Tim Adams, president
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The Pound Sterling (GBP) is holding up relatively well against the stronger USD, trading little changed on the session, Scotiabank’s Chief FX Strategist Shaun Osborne notes. GBP steadies near 100-day MA “BoE officials are speaking again in Washington, with Governor Bailey and MPC member Breeden on tap. Markets continue to price in a 1/4 point
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Dollar strengthened broadly overnight, propelled by the extended rally in US Treasury yields. 10-year yield soared to its highest level since late July, breaching 4.2% mark during Asian trading session. The move reflects growing market expectations that Fed’s monetary policy easing will proceed more slowly than initially hoped. Importantly, there is an increasing belief that
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