Gold might pivot to the upswing after FOMC minutes
The US dollar is strengthening across the board following the increasing yields of 30-year treasury bonds and the “tight FED” narrative. Traders will focus on the FOMC minutes publication to get an idea of the FED”s perspective on monetary policy.
Nasdaq struggles to regain momentum as rotation in the stock market develops: energy and financial stocks strengthen, while techs stand still. Volatility remains to stay low, but sentiment might slowly shift towards mildly negative, as there’s no demand for cyclical assets at the moment, and September is known as a statistically bearish month for S&P500 and Nasdaq.
Other than FOMC minutes, among this week’s important publications are inflation from the UK and the same from Japan. The latter could create more intrigue, as yields of 10-year bonds in Japan are at long-term peaks, so the Japanese Yen has the capability to strengthen against some major currencies.
Gold had plummeted towards $1900: a psychological level, which is positioned right below the 200-day moving average, so the congregation of those levels might create upward pressure, especially if the rally of the US dollar slows down.
Nasdaq struggles to regain momentum as rotation in the stock market develops: energy and financial stocks strengthen, while techs stand still. Volatility remains to stay low, but sentiment might slowly shift towards mildly negative, as there’s no demand for cyclical assets at the moment, and September is known as a statistically bearish month for S&P500 and Nasdaq.
Other than FOMC minutes, among this week’s important publications are inflation from the UK and the same from Japan. The latter could create more intrigue, as yields of 10-year bonds in Japan are at long-term peaks, so the Japanese Yen has the capability to strengthen against some major currencies.
Gold had plummeted towards $1900: a psychological level, which is positioned right below the 200-day moving average, so the congregation of those levels might create upward pressure, especially if the rally of the US dollar slows down.