FTSE 100 up in thin trading

Chris Beauchamp IG

The usual US-holiday drift has pervaded markets today, though rising bank stocks have supported the FTSE 100, says Chris Beauchamp, Chief Market Analyst at investing and trading platform IG.

FTSE 100 lifted by banks

It has been a disjointed start to the week for global markets thanks to the Chinese and US holidays which have essentially rendered Monday a write-off for most investors. Though it must be said that the dip-buying reflex remains strong, demonstrated by today’s rebound in UK bank shares, helping to lift the FTSE 100 throughout the day. Friday’s US inflation data should help see risk appetite recover, though an anxious watch continues to see which sector will fall victim next to AI disruption fears.

Gold and Silver struggle

Precious metals have had the bid knocked from underneath them today, although the selling remains muted compared to the volatility seen earlier in the month. Today marks a rare moment when gold and silver have lost ground along with bitcoin, which continues to shy away from the $70,000 level, a worrying sign for those hoping for a cryptocurrency revival.

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Chris Beauchamp

EUR/USD meets initial support around 1.1800

EUR/USD remains on the back foot, although it has managed to reverse the initial strong pullback toward the 1.1800 region and regain some balance, hovering around the 1.1850 zone as the NA session draws to a close on Tuesday. Moving forward, market participants will now shift their attention to the release of the FOMC Minutes and US hard data on Wednesday.

GBP/USD bounces off lows, retargets 1.3550

After bottoming out just below the 1.3500 yardstick, GBP/USD now gathers some fresh bids and advances to the 1.3530-1.3540 band in the latter part of Tuesday’s session. Cable’s recovery comes as the Greenback surrenders part of its advance, although it keeps the bullish bias well in place for the day.

Gold remains offered below $5,000

Gold stays on the defensive on Tuesday, receding to the sub-$5,000 region per troy ounce on the back of the persistent move higher in the Greenback. The precious metal’s decline is also underpinned by the modest uptick in US Treasury yields across the spectrum.

Ethereum Price Forecast: BitMine extends ETH buying streak, says long-term outlook remains positive

Ethereum (ETH) treasury firm BitMine Immersion continued its weekly purchase of the top altcoin last week after acquiring 45,759 ETH.

UK jobs market weakens, bolstering rate cut hopes

In the UK, the latest jobs report made for difficult reading. Nonetheless, this represents yet another reminder for the Bank of England that they need to act swiftly given the collapse in inflation expected over the coming months.

Ripple slides to $1.45 as downside risks surge

Ripple edges lower at the time of writing on Tuesday, from the daily open of $1.48, as headwinds persist across the crypto market. A short-term support is emerging at $1.45, but a buildup of bearish positions could further weaken the derivatives market and prolong the correction.