We are heading into a new trading week with some extreme divergence in benchmark assets. On the one hand, we have the Dow[1] leading US indices to record highs as the VIX remains crushed to extreme lows. Yet, the speculative single-mindedness this commitment may suggest doesn’t seem to be well reflected in other risk assets, major FX pairs, crude oil[2] or gold[3]. Why?
Gold Price Outlook: XAU/USD May Rise on FOMC Minutes, Trade War[4]
Gold prices may be given a tailwind from the FOMC[5] minutes and escalating trade war risks if they fuel demand for anti-fiat assets amid expectations of additional Fed easing.
Battered Australian Dollar Looks To RBA Minutes, Lowe Speech[6]
The Australian Dollar[7] has been hit in recent days by a slew of bearish news from both home and abroad. There may be less of this to come in the week ahead, but it’s still hard to see the currency rising.
Euro Price Forecast: Fundamental Analysis Indicates More of the Same[8]
The Euro[9]’s struggle to move higher against a range of currencies continues and without further support this is likely to continue into the year-end
Dow Jones and FTSE 100 Forecast for the Week Ahead[10]
Dow Jones hits record high, however, central bank liquidity prompts volatility implosion. FTSE 100[11] among underperformers with focus remaining on politics.
Euro Technical Forecast: EUR/USD, EUR/JPY, EUR/GBP, EUR/AUD[12]
The Euro made cautious upside gains, with EUR/USD[13] showing most potential for upside follow-through. EUR/JPY[14] and EUR/AUD[15] may stall at key falling channels as EUR/GBP[16] eyes 2019 lows.
Australian Dollar Outlook: Aussie Sell-off Halted at Lateral
