Gold Set for Best Week In 3-Years As Trade Concerns Intensify

Google+ Pinterest LinkedIn Tumblr +

1. Safe Havens Edge Higher

XAU/USD firmed above the key $1,500 pivot this morning and is currently en route to its best week since April 2016, as fears of a global economic slowdown triggered fresh interest for the noble metal. The yen also climbed on renewed trade concerns.*

 

2. EU Indices Dip on Concerns Over Italy’s Government

Major European bourses dipped on Friday morning as investors monitor trade war developments and a possible collapse of the Italian government. Matteo Salvini, leader of Italy’s ruling League party called for fresh general elections on Thursday, after Italy’s coalition government imploded.EU indices plummeted across the charts, with bank stocks shedding 1.3% as shares of Italian lenders tumbled amid all the political uncertainty.**

 

3. US Bourses Rally Overnight

On Thursday, risk returned back to the table with US bourses rising sharply yesterday, erasing most of the steep losses from earlier in the week. Today, U.S. markets are set to open lower as investor optimism faded on the escalation of the trade standoff between China and the U.S. Overnight reports that the U.S. is holding off on giving permission to U.S. companies to use Huawei products spread concern that this is another way president Trump seeks to retaliate for China’s decision to stop buying American crops after it was accused of being a currency manipulator.***

 

4. Oil Prices Steady 

Oil prices wobbled amid concerns over the U.S-China trade stand-off harming demand but were supported by expectations of more OPEC production cuts. International benchmark Brent crude futures, were at $57.42 a barrel by 8:25 GMT, up only 4 cents while U.S. West Texas Intermediate (USOIL) futures were also last seen trading flat at $52.57 up only 3 cents from their last close.****

 

 You can find and trade CFDs on all of the above-mentioned assets on BDSwiss Forex/CFD platforms.

 

Sources:
*Financial Times Aug 9, 2019 03:07 AM ET
**Reuters Aug 9, 2019 3:53 AM ET
***CNBC Aug 9, 2019 2:48 AM ET
****Investing Aug 9, 2019 05:20 AM ET

START TRADING NOW

Your capital is at risk. T&Cs apply

Share.
Risk Warning: Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. General Risk Disclosure