Market Week Ahead: Gold Tests $2k, GBP/USD, EUR/USD Pop, USD Sags Markets remain risk-on with a range of US equity markets posting fresh multi-month highs. The VIX ‘fear gauge’ is at lows last seen at the start of 2020 and has fallen in excess of 46% from its late-October spike high. The growing feeling that
NZD/USD has popped a few points in the early hours here on Monday with only New Zealand markets underway: The marking higher of the kiwi $ is a market dynamics move rather than an important shift in fundamentals. If you think the new government will solve all the problems the NZ economy is facing and
It’s unclear what’s happening in the bond market today as US 30-year yields lead the way higher, up 8.5 bps to 4.288%. The front-end is more subdued with 2s flat at 4.85%, though well-above the post-NFP low of 4.76%. Given the dovish data today, it’s tough to explain why bonds are selling off. I wonder
USD/JPY popped to a high above 145.20 earlier in the session but has since been slammed lower to circa 144.67. USD/JPY back around 145 has, of course, heightened the fear of Japanese authorities intervening to support they yen (and thus push USD/JPY lower). The most likely form of intervention at this stage would be verbal,