Economies

XAU/USD opened higher today, as the G7 economies are expected to sanction imports of Russian gold, based on the US President’s comments over the weekend

The German government entered into the second level of its emergency plan for gas yesterday, which sent GER30 lower, heading towards another losing week

US President Biden is considering a suspension of the federal gas tax and action could be announced within the day, in a backdrop of soaring prices and monetary tightening by the Fed which creates stagflation fears

The pair is soft, as headline Consumer Price Index (CPI) rose to 9.1% year-over-year in May, in the aftermath of last week’s fifth straight rate hike by the BoE in order fight it

Copper is positively correlated with economic cycles. Therefore, its latest price action is a cause for concern.

The Bank of Japan did not make any changes to its ultra-loose monetary policy, but made a rare reference in the foreign exchange, give the Yen’s weakness

The central bank delivered another 25 basis point interest rate hike, in order to bring down rampant inflation, which it sees rising to double-digits

The US Federal Reserve hiked rates by 75 basis points, which is the biggest increase since 1994, catering to the aggressive market expectations after recent surge in inflation

This week FXCM senior market specialists Russ and Nik talk about inflation. First from the ECB's point of view and then moving to the US CPI miss on Friday. Market reactions were swift, which followed through to Monday. This Wednesday sees the Fed rate hike, and the market repricing from 50bps to 75bps had a large part to play in Monday's bloodbath. Thursday has the BoE hiking rates, with the…

The Fed's normalisation of its balance sheet will affect both yields and the dollar. So market participants should not ignore it.

The initial jobless claims missed the forecast. This is a concern given the current macroeconomic environment.