Trump’s tariff threats, mixed US data, geopolitical tensions, and rising demand from China and India have driven gold to its all-time high of $2,800 by early Friday.
After increased volatility around the FOMC, markets face lower liquidity ahead of today’s ECB Interest Rate Decision and Q4 GDP reports from Germany, the Eurozone, and the US.
Risk sentiment is shaky on Wednesday as traders prepare for major events, including monetary policy announcements from the Federal Reserve (Fed) and the Bank of Canada (BoC).
US President Donald Trump and incoming Treasury Secretary Scott Bessent kept tariff talk in focus, dampening market sentiment.
Donald Trump’s trade war with Colombia, disappointing economic data from China, and growing doubts over the Russia-Ukraine peace talks added to global uncertainty.
The Bank of Japan’s (BoJ) rate hike added to the market’s risk-on sentiment, contributing to the decline of the US Dollar Index (DXY) for a second consecutive day.
On his third day as US President, Trump took to X (formerly Twitter) to reaffirm his tough stance on trade tariffs and global issues while pushing for more infrastructure investment.
The lack of major tariff updates from US President Donald Trump put pressure on US Dollar bulls, despite tough rhetoric against Europe, China, Canada, and Mexico.
After a volatile Monday driven by Trump’s inauguration updates, traders await more clarity on his next steps, particularly on trade policies.
Risk FX improved early Monday, supported by the likely absence of concerns over Trump's tariff shots in his first 100 executive orders and a US holiday.
Markets are uncertain early Friday, despite positive data from China on Retail Sales and GDP growth.
Market sentiment is cautiously positive today, boosted by weaker-than-expected US Core CPI and a downbeat NY Empire State Manufacturing Index.
