Risk sentiment improving

Important news this week

Wed, 22nd, 08:00 CET UK Consumer Price Index.
Thu, 23rd, 03:30 CET AU Employment Change.
Thu, 23rd, 14:15 CET EU ECB Interest Rate Decision.

Markets await direction as geopolitical risks lift commodities

The US Dollar is trading without a clear direction, leaving investors waiting for the next catalyst. The greenback's next move could determine sentiment across financial markets, as a stronger Dollar would likely pressure risk assets, while renewed weakness could support equities and commodity currencies. For now, US stock indices are experiencing a modest pullback after recent gains but continue to hold within a constructive medium-term uptrend.

Geopolitical tensions are once again dominating commodity markets. Gold and Silver have rallied sharply as investors seek safe-haven assets, while oil prices have surged on renewed concerns over potential supply disruptions. In contrast, cryptocurrency markets remain largely sideways, with traders waiting for stronger macroeconomic signals before committing to the next move. Sterling is also trading in a narrow range after softer UK inflation data reduced expectations for additional policy tightening by the Bank of England.

Market talk

The focus now shifts to upcoming economic data, which is expected to provide the next major catalyst for global markets. Investors will closely monitor inflation figures, labor market data, and central bank commentary for clues on future monetary policy. Until then, markets are likely to remain headline-driven, with the US Dollar and geopolitical developments continuing to dictate sentiment. If geopolitical tensions ease, attention could quickly return to economic fundamentals. However, any further escalation may keep demand elevated for safe-haven assets such as Gold, while oil prices remain highly sensitive to developments in the Middle East.

Tendencies in the markets

• Equities positive, USD am resistance, BTC sideways, oil strong, Silver positive, Gold positive.