Gold Futures: Further correction on the cards

Pablo Piovano FXStreet

Open interest in gold futures markets rose for the third straight session on Monday, this time by around 6.1K contracts according to preliminary readings from CME Group. Volume, instead, shrank by around 10.6K contracts, partially reversing the previous daily build.

Gold: Interim support comes at the 55-day SMA near $1880

Gold prices started the week on the defensive after hitting new 2023 highs past the key $2000 mark per ounce troy. The knee-jerk came in tandem with rising open interest and indicates that the continuation of the decline appears likely in the very near term. That said, the 55-day SMA at $1881 emerges as the a temporary support for the time being.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

GBP/USD remains offered below 1.3600

GBP/USD resumes its decline, reversing Tuesday’s bullish attempt and breaking below 1.3600 the figure on Wednesday. Cable’s marked pullback follows a firm advance in the Greenback as investors continue to assess latest US data as well as the geopolitical landscape.

EUR/USD bounces off lows, retests 1.1650

EUR/USD now manages to regain some balance, trimming earlier losses and reclaiming the mid-1.1600s in the latter part of Wednesday’s NA session. The pair’s retracement comes on the back of a solid performance of the US Dollar, as market participants gear up for upcoming key US data releases and Chair Warsh’s speech at the Jackson Hole Symposium.

Gold puts $4,600 to the test amid USD gains

Gold now faces some renewed downside pressure and seems to challenge the key $4,600 mark per troy ounce on Wednesday. That said, the yellow metal’s correction comes after three daily upticks in a row, fading at the same time the recent move to fresh tops around $4,700. The stronger US Dollar and a decent rebound in US Treasury yields across the curve continue to weigh on bullion.

Bitcoin recovery stalls near $80,000 as ETF inflows mount, whale demand strengthens

Bitcoin price is trading in the green on Wednesday, holding above $78,000 while struggling to extend its recovery above the $80,000 mark. Institutional demand is strengthening, with steady inflows and BlackRock’s tax-deferred Bitcoin-to-ETF swap volume reaching $5 billion.

Nvidia: How will the company perform as its switches from a chip maker to an AI finance house?

The main event for markets this week takes place this evening, after US markets close. Nvidia, the AI giant, will report results for last quarter. Another monster report is expected. Revenues could come in above $92bn, and earnings per share could come in at $2.09.

Kevin Warsh’s Jackson Hole dilemma: Say too much, too little, or just enough

Kevin Warsh is preparing to deliver his first Jackson Hole speech as Federal Reserve (Fed) Chair on Friday, and expectations extend well beyond whether interest rates will be raised or left unchanged in September.