Gold resumes backing off from 1,360 as equities slide in thin Asia markets

Gold is on the decline again tracking equity indexes and other commodities slipping into 1340.00 territory as of writing. Asia session markets will remain subdued through tomorrow as China markets take a break for the first half of the week to celebrate Chinese New Year.Gold turned away from a high point near 1360.00 for the second time recently as the precious metal loses ground amidst risk aversion in markets that has seen equities take a similiar haircut in the face of rising inflation.The precious metal has [read more]

AUD/USD: unchanged on in low volume FX post same-same RBA minutes

While the RBA minutes were not giving us anything new as expected the AUDUSD remains sideways within a range of 0.7900 and 0.7930 established overnight. Currently AUDUSD is trading at 0.7916 up 0.08% on the day having posted a daily high at 0.7922 and low at 0.7905. The RBA minutes were a complete repeat of the same rhetoric and overcharge in some cases that we have heard and read many times over from recent announcements from the Central Bank.RBA minutes wage growth remained subduedThe Aussie was unchanged [read more]

Oil futures rise, as supply fears wait in the wings

Oil futures climbed on Monday with the commodity picking up where it left off last week when prices rebounded as investor appetite for riskier assets improved. West Texas Intermediate futures  rose 80 cents or 1.3% to $62.35 a barrel after a 4.2% gain last week. Mondays move higher if it holds would mark the fourthstraight winning session for U.S. crude. Brent crude the global benchmark added 72 cents or 1.1% to $65.56 a barrel. Brent rose 3.3% last week. An escalation in [read more]

EUR/USD neutral, needs to clear 1.2555 for extra gains – UOB

The pair keeps the neutral bias for the time being while it should clear the mid1.2500s in order to sustain another leg higher commented FX Strategists at UOB Group. Key Quotes 24hour view In line with expectation EUR moved below last Fridays 1.2392 low but the downmove was checked by the 1.2360 support (overnight low has been 1.2367). Despite the bounce from the low the undertone is still weak and another attempt to move towards 1.2360 seems likely (before a more sustained recovery can [read more]

USD/JPY targets 104.00 near term – Danske Bank

Jens Sorensen Chief Analyst at Danske Bank believes the Japanese safe haven could gather extra traction in the next 13 months. Key Quotes USDJPY has stabilised after past weeks selloff. 25 delta USDJPY risk reversals have bounced higher which could indicate nearterm stabilisation in the cross. However we still expect the cross to trade lower going into end of the fiscal year in Japan (31 March) driven by portfolio flows fragile risk environment and stretched short JPY positioning. We target 104 in 13M. [read more]

USD/JPY - stuck in a 40-pips range

USDJPY has been restricted to a narrow range of 106.00106.40 since Fridays late NY trading and the risk reversals indicate the range could be breached on the higher side. As of writing the spot is trading at 106.23 having clocked a high of 106.37 and a low of 106.10. The pair hit a low of 105.55 on Friday before moving back above 106.00 on chart factors (oversold conditions). Also the options market indicates the premium held by JPY calls (bullish bets) over JPY puts has dropped over the [read more]