Yuan Falls As Rate Set At Lowest Since 2011
The yuan Thursday weakened for the 10th day against the US dollar as China’s central bank set the official reference rate at the lowest since 2011 following the US interest rate hike.
$UUP
Oil Prices Driven Lower On Fundamentals And Technicals
These are interesting times for oil traders and speculators with Friday’s OPEC meeting in Vienna now on the horizon, and the question that will then be answered is whether the group will cut output to stem the supply glut that is now increasingly having to be held offshore around the oceans of the world.
The Argument Against A Rate Hike
The Federal Reserve’s upcoming December meeting is likely to result in an interest rate hike; the majority of analysts are expecting the bank to make a move.
Where Next For Gold …..And Silver?
Whenever I put the proverbial pen to paper and start to write about gold, I can already hear the chorus of dissenting voices from those traders and investors who only view their beloved metal as bullish, and can never accept the reality of what is actually happening on the chart.
Fed Meeting Suggests One Or Two Rate Hikes This Year
This week’s Federal Reserve meeting served as confirmation for investors that the bank is still planning to raise interest rates some time before the end of this year.
US Dollar Surges Higher As Bullish Momentum Returns
Friday’s speech from Fed chair Janet Yellan rounded off a seminal week for the markets, with the US dollar bulls returning in force as her comments continued to confirm the prospect of an interest rate rise during 2015, provided economic data continues to support the mild recovery for the US economy.
Copper and Base Metals Falls On Strong USD and Weak Chinese Data
Copper, along with several of the other principal base metals fell sharply this week as a resurgent US dollar drove many commodities lower, with both gold and silver also selling off strongly. For the base metals market it was Nickel which saw the most dramatic price moves, falling over 5.5% with copper and zinc both falling over 2 %, with tin one of the few commodities closing higher.
Europe Likely To Send Hot Money To China
Dramatic monetary policies in Europe have lots of potential to create a new surge of hot money inflow into China, says Simon Derrick, chief currency strategist at the Bank of New York Mellon.
The US Dollar Rules – OK!
Difficult to believe that until recently the US dollar (UUP, quote) was being written off by all and sundry, with some even suggesting that its days as the currency of first reserve were numbered. Many were calling for the Yuan to replace it, and even the euro in its current iteration. Others suggested a basket of currencies. How times have changed.
Even Oil Inventories Fail To Put The Brakes On
For oil traders and speculators hitting the sell button has become almost automatic, as the heavily bearish tone for the commodity shows no signs of abating just yet, with another solid move lower yesterday offering low risk trading opportunities once again.