All eyes on NFP report

XTB Analysis Team XTB Poland

Markets anxiously await today’s NFP employment report from the US which is expected to show an increase of 500K jobs and could be crucial for the next FED decision. The US central bank has been adamant about needing confirmations of an improving job market and today’s report could seal the deal for the bank to announce upcoming QE tapering in the next meeting that will be held in November. Markets have been anticipating this announcement and any indication of upcoming QE tapering could cause major reactions across stocks, commodities and currencies. On the other hand, the FED could still decide to delay any changes to monetary policy in an attempt to avoid a potential over reaction, especially considering the recent economic climate which has seen supply shortages and higher fuel prices increase uncertainty.

Oil prices rebound after US energy department comments

While Oil prices managed to pull back slightly in the past few days after reaching a multi year high, the upward move has resumed and prices are once again testing recent peaks. The situation changed once again after the US energy department announced that it will not be releasing its strategic reserves and that it was considering potentially banning exports in order to maintain steady supplies. After this news, and following OPEC’s decision earlier in the week to not increase production further, we could be seeing another upward move where prices break through those aforementioned highs, especially considering the potential increase in demand in the coming months.

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XTB Analysis Team

XTB Poland

EUR/USD holds firm near 1.1850 amid USD weakness

EUR/USD remains strongly bid around 1.1850 in European trading on Monday. The USD/JPY slide-led broad US Dollar weakness helps the pair build on Friday's recovery ahead of the Eurozone Sentix Investor Confidence data for February.

GBP/USD hovers near 1.3600 as UK government crisis weighs on Pound Sterling

GBP/USD moves sideways after registering modest gains in the previous session, trading around 1.3610 during the European hours on Monday. The pair could come under pressure as the Pound Sterling may weaken amid a fresh government crisis in the United Kingdom.

Gold remains supported by China's buying and USD weakness as traders eye US data

Gold struggles to capitalize on its intraday move up and remains below the $5,100 mark heading into the European session amid mixed cues. Data released over the weekend showed that the People's Bank of China extended its buying spree for a 15th month in January. Moreover, dovish US Fed expectations and concerns about the central bank's independence drag the US Dollar lower for the second straight day, providing an additional boost to the non-yielding yellow metal.

Cardano steadies as whale selling caps recovery

Cardano (ADA) steadies at $0.27 at the time of writing on Monday after slipping more than 5% in the previous week. On-chain data indicate a bearish trend, with certain whales offloading ADA. However, the technical outlook suggests bearish momentum is weakening, raising the possibility of a short-term relief rebound if buying interest picks up.

Japanese PM Takaichi nabs unprecedented victory – US data eyed this week

I do not think I would be exaggerating to say that Japanese Prime Minister Sanae Takaichi’s snap general election gamble paid off over the weekend – and then some. This secured the Liberal Democratic Party (LDP) an unprecedented mandate just three months into her tenure.

Bitcoin, Ethereum and Ripple consolidate after massive sell-off

Bitcoin, Ethereum, and Ripple prices consolidated on Monday after correcting by nearly 9%, 8%, and 10% in the previous week, respectively. BTC is hovering around $70,000, while ETH and XRP are facing rejection at key levels. Traders should be cautious: despite recent stabilization, upside recovery for these top three cryptocurrencies is capped as the broader trend remains bearish.