Gold consolidates above US 1800 but oil retreats

Oil retreats as short-term bullish sentiment fade Both Brent crude and WTI retreated overnight as the short-term noise from equity markets spilt over into energy markets. Brent crude fell by 3.15% to USD 39.60 a barrel. The falls overnight, however, look more to do with position adjustments and short-term tail chasing, rather than a structural […]

Dollar dance continues, yuan breaks below 7.00

The US dollar posts modest gains overnight The US dollar continues its dance in both directions, as the global stock markets are also looking for firmer footing. Will the greenback continue to show a lack of a trend in the Friday session? Having teased markets earlier this week with the possibility of a downside US […]

China equities slip on US sanctions

Equities ease in Asia after a mixed session on Wall Street The short-term FOMO herd continued chasing its tail in New York overnight, as they have been doing all week. Yesterday it was the turn of Covid-19 to doom the world again. Interestingly the herd chose a new strategy, sell traditional stocks and hedge via […]

Stuck in a lifeboat with a Peloton bike

Financial markets show consolidation The Covid-19 hand-wringing is out in force again overnight, with North American markets mostly giving back the previous day’s gains across asset classes. Contrast that with Wednesday, where all was light and sunshine, having endured another end of days Covid-19 session on Tuesday. As the dust settles on this week, I […]

Gold punches past USD 1800, oil drifts

Oil drifts higher as range-trading continues A fall in US gasoline inventories by 4.85 million barrels overnight offset the unexpected rise in official crude inventories by 5.65 million barrels. That limited any negative sentiment and reassured investors that petroleum consumption remains robust in the US, despite the economic hit caused by the increase in Covid-19 […]

Normal service is resumed

Financial Markets Recover As quickly as it appeared, the doom and gloom of yesterday was consigned to the financial market’s dustbin, with normal service resuming on Wall Street overnight. US equities recorded a strong session led by the usual suspects, big tech. The US dollar continued its gentle move lower while energy markets crept higher. […]

US dollar dips lower

The US dollar resumes its slow move lower With equity markets returning to FOMO v-shaped recovery mode, the green light was given for the US dollar sell-off to resume, after pausing on Tuesday. Price action was orderly though, with the US index falling just 0.40% to 96.50. The US sold 10-year notes at a record […]

Asian Stock Markets in Consolidation Mode

Equities are trading sideways in the Asia-Pacific region US equity markets continue to show movement in both directions, but we are not seeing this trend in the Asian markets in Thursday trade. Equity markets across the region showed solidity yesterday, refusing to bow to the schizophrenic noise from Wall Street. With the former having taken […]

Gold ticks higher, oil yawns

Opposing forces continue to balance oil prices Oil had another quiet overnight session by its lofty standards. Brent crude and WTI both gained ground, but were unable to consolidate these gains. Brent crude rose by 0.50% to USD 43.10 a barrel but has given up those gains in Asia, falling by the same to USD […]

Chinese Yuan outperforms

The US dollar moved lower overnight, as the outsized rally in Chinese stocks saw both the onshore and offshore Chinese yuans register impressive gains versus the greenback. The onshore CNY rose 500 points, or 0.75%, with USD/CNY falling to 7.0140. In the process, both yuans broke through their 100 and 200-day moving averages, to close […]