Stocks down but pace of selling eases – China rate cuts spook commodity prices

Chris Beauchamp IG

Stock selloff eases

Most indices are still lower this afternoon, though another 1% rise for the Russell 2000 on Wall Street shows that last week’s rotation is still going on beneath the surface. All eyes are on the Magnificent 7 and USD/JPY, both viewed as the main culprits of the recent selloff. While buying the dip in these two markets has paid off handsomely so far this year, but with a Fed meeting and tech earnings on next week’s calendar, the risk of renewed volatility is very high.&rdquo

China rate cuts spook commodity prices

China’s central bank continues to deliver surprises in the form of rate cuts, but these have not been well-received, a salutary lesson for those hoping for Fed easing in the near future. For now, concerns about China’s economy appear relatively contained, but investors remain on edge.

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Chris Beauchamp

EUR/USD holds steady above 1.1850 in quiet session

EUR/USD stays defensive but holds 1.1850 amid quiet markets in the European hours on Monday. The US Dollar is struggling for direction due to thin liquidity conditions as US markets are closed in observance of Presidents' Day holiday.

GBP/USD flat lines near 1.3650 ahead of UK and US data

GBP/USD kicks off a new week on a subdued note and oscillates in a narrow range near 1.3650 on Monday. The mixed fundamental backdrop warrants some caution for aggressive traders as the market focus now shifts to this week's important data releases from the UK and the US.

Gold corrects lower, tries to stabilize above $5,000

Gold started the week under bearish pressure and declined to the $4,960 area before staging a modest rebound. As trading volumes remain thin with the US financial markets remaining closed on Presidents' Day holiday, XAU/USD looks to stabilize above $5,000 ahead of this week's key data releases.

Bitcoin consolidates as on-chain data show mixed signals

Bitcoin price has consolidated between $65,700 and $72,000 over the past nine days, with no clear directional bias. US-listed spot ETFs recorded a $359.91 million weekly outflow, marking the fourth consecutive week of withdrawals.

The week ahead: Key inflation readings and why the AI trade could be overdone

It is likely to be a quiet start to the week, with US markets closed on Monday for Presidents Day. European markets are higher across the board and gold is clinging to the $5,000 level after the tamer than expected CPI report in the US reduced haven flows to precious metals.

Monero Price Forecast: XMR risks a drop below $300 under mounting bearish pressure

Monero (XMR) starts the week under pressure, recording a 4% decline at press time on Monday after a 7% drop the previous day, putting the $300 support zone in focus.