Gold saw a decline this Friday, ending a nine-week winning streak. Could this be the end of gold’s upward momentum? Explore our analysts’ insights below.
* Events. Gold prices fell to around $4,110 per ounce. This decline coincided with heavy selling, especially from gold-backed ETFs, which saw their largest one-day drop in five months.
* Background. Geopolitical and economic uncertainty also affects the market. Trade tensions between the U.S. and China, new sanctions on Russia, and the U.S. government shutdown have created a volatile economic environment.
* Possible outcome. The release of the U.S. inflation data today will be key to predicting the market reaction. If inflation is higher than expected, gold may rise again as a hedge against inflation.
Depending on today’s inflation report, gold could either rebound or sink lower. Monitor economic data, as it will give you crucial insights into gold’s next move. Volatility is expected, so consider adjusting your strategy, especially if you’re trading XAU/USD.
EUR/USD is under pressure, while the US dollar remains strong. What’s affecting the pair? Find out in our analysis.
* Events. EUR/USD continues to trade near 1.1610. The main drivers remain expectations of a Federal Reserve (Fed) rate cut and trade conflicts between the U.S. and China.
* Background. The market is pricing in a Fed rate cut to 3.75-4%. Such a policy easing would typically weaken the dollar. However, USD remains strong as investors see it as a safe haven amid ongoing U.S.-China tensions.
* Possible outcome. Today’s U.S. inflation data could significantly impact the dollar’s movement. PMI business activity reports from the U.S. and eurozone will also give traders clues about future monetary policy decisions from the Fed and European Central Bank.
Keep watching economic reports and any statements from central banks. If inflation data comes in as expected, it could continue to support the dollar, pushing EUR/USD lower. Conversely, any surprise in the data could lead to volatility.
After a recent drop, Bitcoin keeps climbing. Will there be crypto’s next big move? Find the full breakdown below.
* Events. Bitcoin is nearing $111,000 as investors await key economic data, including the U.S. Consumer Price Index (CPI). This report will be released on 24 October despite the government shutdown.
* Background. The release of inflation data could influence the Federal Reserve’s upcoming policy decisions. If inflation is lower than expected (below 3%), the chance of a Fed rate cut increases. Such shifts traditionally support risky assets like Bitcoin.
* Possible outcome. If inflation data is weak, Bitcoin could see a significant boost as investors move away from safe-haven assets to higher-risk, higher-reward investments.
Watch the CPI data on 24 October and the Fed’s meeting on 29 October closely. Low inflation could signal a strong move for Bitcoin, so be prepared for potential volatility and trade accordingly.
