0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Mixed
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Mixed
Gold
Bearish
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇨🇭CHF: 0.51% 🇨🇦CAD: 0.39% 🇪🇺EUR: 0.38% 🇳🇿NZD: 0.04% 🇬🇧GBP: -0.12% 🇯🇵JPY: -0.36% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/qEABm6nDyn
  • US Treasury Yields: 2-Year: 0.159% 3-Year: 0.188% 5-Year: 0.299% 7-Year: 0.496% 10-Year: 0.671% 30-Year: 1.369% $TNX
  • Commodities Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Silver: 2.87% Gold: 0.40% Oil - US Crude: -0.07% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/9zzrCQMv2s
  • S&P 500 price is within striking distance of hitting all-time highs as stocks continue to rally. Get your market update from @RichDvorakFX here: https://t.co/pKvJ9wv9VY https://t.co/kkbBSDDVo8
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 95.94%, while traders in US 500 are at opposite extremes with 78.38%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/Ycy6nhUEDm
  • Indices Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Germany 30: 0.09% US 500: -0.02% Wall Street: -0.07% France 40: -0.14% FTSE 100: -0.32% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/6KHC1wW7Wo
  • Ugly numbers but (always a but with data), June monthly GDP +8.7% gives hope.... https://t.co/CYevGpL7g5
  • Fed's Daly: #Fed committed to making inflation goal of 2% - BBG
  • With the S&P 500 just topping its all-time record high and the 10YR Treasury yield up again now to 67-bps, yesterday's selloff in stocks looks more like it had to do with margin calls related to the sharp reversal in precious metals.
  • I know it came out a while back but wow, prelim UK GDP data for Q2 QoQ was -20.4%, and YoY was -21.7%.
Gold Prices May Rise as Bond Yields Drop in Risk-Off Trade

Gold Prices May Rise as Bond Yields Drop in Risk-Off Trade

2019-02-08 03:00:00
Ilya Spivak, Head Strategist, APAC
Share:

GOLD & CRUDE OIL TALKING POINTS:

  • Gold prices rise as bond yields drop in risk-off trade
  • Sentiment-linked crude oil prices follow stocks lower
  • Data from Italy, France may keep markets defensive

Gold prices rose as risk appetite fizzled amid growing concerns about slowing global growth across financial markets (as expected). That fueled haven demand for Treasury bonds and weighed on yields, bolstering the relative appeal of non-interest-bearing assets. Crude oil prices slid alongside stocks.

DATA FROM ITALY, FRANCE MAY SOUR MARKET MOOD

Looking ahead, industrial production data from Italy and France may enjoy a rare moment in the spotlight. Soft outcome echoing recent underperformance in regional news-flow may stoke fears about the countries’ inability to meet EU budget targets as economic growth cools.

Brussels took a hard line with the anti-establishment coalition government in Rome last year, pushing it to curb its appetite for expansionary fiscal policy. Another dust-up – especially one that pulls Paris into the fray – may revive regional instability worries and sour the broader markets’ mood.

That sets the stage for yesterday’s trade patterns to be repeated, with gold edging higher as yields decline and oil following shares downward. Indeed, futures tracking the bellwether S&P 500 stock index are pointing convincingly lower in APAC trade, pointing to a risk-off bias ahead.

Learn what other traders’ gold buy/sell decisions say about the price trend!

GOLD TECHNICAL ANALYSIS

A downswing in gold prices stalled as sellers began to test a dense support area underpinned by a rising trend line set from mid-November (now at 1293.89). A daily close below initially exposes 1276.50. Alternatively, a bounce above chart inflection point resistance at 1323.60 aims for the 1357.50-66.06 region next.

Gold price chart - daily

CRUDE OIL TECHNICAL ANALYSIS

Crude oil prices turned lower after putting in a bearish Evening Star candlestick pattern, as expected. A break below support in the 49.41-50.15 area sets the stage for a test of the 42.05-55 zone. Alternatively, a turn back above the February 4 high at 55.75 sees the next upside hurdle in the 57.96-59.05 region.

Crude oil price chart - daily

COMMODITY TRADING RESOURCES

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To contact Ilya, use the comments section below or @IlyaSpivak on Twitter

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.