Forex Today: Risk-on to kick-start the week amid Trump’s comments

FXStreet Team FXStreet

Here is what you need to know on Monday, December 23rd:

US President Trump said that phase one of the trade deal with China would be signed “very shortly.” The news should be considered risk positive and back high-yielding assets at the weekly opening.
The UK Parliament passed PM Johnson’s Brexit bill, with the UK set to leave the EU in January 2020. The market could be concerned about a no-deal Brexit and take it as a negative sign.
The US will release Durable Goods Orders this Monday, the only relevant piece of data this week. Volumes will likely fall sharply amid the Christmas holiday. In this scenario, major pairs could see wide moves out of the bloom.
US Treasury yields edged higher, posting their largest weekly gain in almost two months, as solid US GDP spooked the ghost of recession. Wall Street closed at record highs.
Spot gold spent the week hovering between 1,475 and 1,480, ignoring political headlines and unable to attract investors.
Crude oil prices retreated from fresh multi-month highs on Friday, trimming half of their weekly gains, despite the number of active rigs in the US decreased. Profit-taking ahead of winter holidays probably behind the slump.
Cryptocurrencies edged higher during the weekend, with uneven strength. Further declines not out of the table.

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FXStreet Team

FXStreet

EUR/USD remains depressed below mid-1.1800s; downside potential seems limited

The EUR/USD pair attracts some sellers for the second consecutive day on Tuesday and hovers below mid-1.1800s amid a relatively quiet trading action during the Asian session. The broader fundamental backdrop, however, warrants some caution for bearish traders before positioning for deeper losses.

When is the UK employment data and how could it affect GBP/USD?

The United Kingdom labor market data for the three months ending December is scheduled to be published today at 07:00 GMT. GBP/USD trades 0.16% lower to near 1.3610 at the press time. The 20-period Exponential Moving Average slips to 1.3631 and caps rebounds as price holds below the gauge.

Gold downside appears capped ahead of US-Iran talks

Gold is off the lows but remains under moderate selling pressure below the $5,000 threshold early Tuesday. Gold now looks to the US-Iran nuclear deal talks for a fresh trading impetus as US traders return after the long weekend.

Jupiter rises on native SOL staking, TVL rebound

Jupiter edges higher by 3% at press time on Tuesday, approaching the $0.1700 level. The lending protocol announced native staking as collateral, allowing users to borrow against natively staked SOL on certain vaults.

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.

XRP steadies in narrow range as fund inflows, futures interest rise

Ripple is trading in a narrow range between $1.45 (immediate support) and $1.50 (resistance) at the time of writing on Monday. The remittance token extended its recovery last week, peaking at $1.67 on Sunday from the weekly open at $1.43.