The real yield continues to pressure gold
Gold remains under pressure as capital seeks real return.
Senior Market Strategist
Russell Shor is a Senior Market Strategist at FXCM, having been promoted to the role in 2025 in recognition of his depth of insight and consistent delivery of high-impact market analysis. He originally joined FXCM in October 2017 as a Senior Market Specialist.
Russell holds an Honours Degree in Economics from the University of South Africa, is a certified FMVA®, and a full member of the Society of Technical Analysts (UK). With over 20 years of experience in financial markets, his work is renowned for its clarity, precision, and strategic value across asset classes.
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Gold remains under pressure as capital seeks real return.
USDOLLAR short-term analysis - 31 August 2022
Fed chair Powell's speech led to a risk-off environment, as he outlined inflation as the primary policy driver. However, the Fed was not the only hawkish central bank, with tightening comments from the ECB. Moreover, the ECB minutes seemed to downplay a recession. This prompts Russ and Nik to discuss a general and potential contrarian overshoot scenario. NFP on Friday has forecasts between 285-295K, and Euro PMIs print on Thursday.
Bitcoin sinks after Jackson Hole speech.
US30 remains under pressure at the start of the week.
Fed chair delivers on hawkish expectation at Jackson Hole.
Rate adjustments will likely influence USDOLLAR as Fed Chair delivers his speech today.
The EURUSD shows bearish signs today despite the ECB signalling further rate hikes. The ECB may have a limited degree to move.
Ethereum is showing significant outperformance against Bitcoin ahead of its "Merge."
German ifo points to a weak economy as the short-term chart tests resistance.
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The market is pricing in a tight policy. However, the Fed pivot is still possible, making for a fascinating Jackson Hole symposium.
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