FTSE 100 hovers at two-month high

Chris Beauchamp IG

The bounce in risk assets has made it through another day, and with the VIX and oil falling there are reasons to think it will keep going.

Stocks push higher

“The week is rounding out with further upside for equities, as the general positive feeling in the wake of this week’s inflation data continues. We are now firmly into the quiet period of August, and while there is plenty of UK economic data next week major earnings are thin on the ground. But the drift higher seems set to carry on, especially since the market is apparently content to ignore any warnings about further US interest rate hikes, having been calmed by the downtick in US CPI and PPI this week.”

VIX drop gives comfort to buyers

“Never short a dull market” is a well-worn phrase, but it has plenty of truth to it. As the Volatility Index continues to fall, more investors will be happy to dip back into the market. Fresh falls in oil prices will also bolster the idea that inflation will keep edging down in the months to come.”

Author

Chris Beauchamp

EUR/USD hits two-day highs near 1.1820

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GBP/USD reclaims 1.3600 and above

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Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

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XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.