there is a deal

Frank Walbaum FX Strategies.Asia

Important News for the day

Thu, 01st, 04:03 CET JP Interest Rate Decision.
Thu, 01st, 13:30 CET US Unemployment Claims.
Thu, 01st, 15:00 CET US ISM Manufacturing PMI.

There is a deal

The US and the Ukraine have finally signed a deal. According to the signed agreement the US would get access to rare earth in the Ukraine and also enable them being able to explore rare earth, gas and oil fields. Both countries will invest in a fund, which would enable in particular the Ukraine to control access. The money added to the fund from the Ukrainian side will come from future exploration licenses and the trading of minerals.

Market talk

The US- Dollar looks like it is gearing up some momentum for now. Strength can be observed against other currency pairs, where in particular the EURUSD looks set for fresh losses at the beginning of this new month. Meanwhile on the other hand also the JPY looks poised for more downside momentum. The USDJPY currency pair might rise more. The interest rate decision in Japan revealed that rates will remain the same as previously anticipated. Also Gold prices continue to retrace lower. The stronger Dollar might cause this trend to continue as well. Equities look positive despite the mixed numbers from the US.

Tendencies in the markets

Equities sideways, USD stronger, cryptos positive, oil weak, Silver lower, Gold weak, JPY weak.

Author

Frank Walbaum

FX Strategies.Asia

Frank has been working in the TV business for several years. Acquiring his skills in Germany’s biggest broadcasting station, he then chose to work and live in Asia, which was in 2007.

EUR/USD deflates to fresh lows, targets 1.1600

The selling pressure on EUR/USD now gathers extra pace, prompting the pair to hit fresh multi-week lows in the 1.1625-1.1620 band on Friday. The continuation of the downward bias comes in response to further gains in the US Dollar as market participants continue to assess the mixed release of US Nonfarm Payrolls in December.

GBP/USD breaks below 1.3400, challenges the 200-day SMA

GBP/USD remains under heavy fire and retreats for the fourth consecutive day on Friday. Indeed, Cable suffers the strong performance of the Greenback, intensified post-mixed NFP, and trades at shouting distance from its critical 200-day SMA near 1.3380.

Gold flirts with yearly tops around $4,500

Gold keeps its positive bias on Friday, adding to Thursday’s advance and challenging yearly highs in the $4,500 region per troy ounce. The risk-off sentiment favours the yellow metal despite the firmer tone in the Greenback and rising US Treasury yields.