US Dollar, Gold and VIX Must Watch Markets with Trade Wars Competing with Liquidity
We have closed out a week where both trade wars and recession worries have regained significant traction. You wouldn’t have noticed that threat, however, if you were only referencing price action from market benchmarks like the S&P 500 or EURUSD. Liquidity will be a critical factor of our market condition ahead, but can complacency fend off these real, tangible stability threats?
The Australian Dollar faces a lack of heavyweight domestic data which, unfortunately for traders, will leave the unpredictable trade story in the driving seat.
Upcoming remarks from Federal Reserve officials may influence the price of gold as the central bank alters the outlook for monetary policy.
The Euro may face selling pressure in the week ahead amid a reignition in EU-US trade tensions as regional growth falters and threatens to undermine Eurozone financial stability.
The British Pound continues to test boundaries against a range of currencies ahead of the December 12 General Election, with current UK PM Boris Johnson holding a healthy lead in the polls.
Trade wars look poised to dominate the fundamental landscape for equities as the United States clamps down on Huawei and a phase one trade deal experiences further delays.
Crude oil prices are struggling to find direction amid US-China trade war uncertainty, but the way forward is biased lower as global slowdown fears resurface.
Crude Oil = Black
Gold (XAUUSD) = Yellow
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