Stock markets brush aside metals madness

Chris Beauchamp IG

It has been a solid day for equity markets despite the carnage in gold and silver prices, says Chris Beauchamp, Chief Market Analyst at investing and trading platform IG.

FTSE 100 makes new record high despite metals losses

The FTSE 100 has shrugged off a weak start to the day and the collapse in precious metal prices to post a respectable 90 point gain. AstraZeneca has played its part in a steady move higher throughout the day as the pharma giant completes its move to the NYSE from the Nasdaq, a move which many still think is a precursor to abandoning its London listing altogether. Losses in miners and oil stocks have been contained, not least because of the dip buying going on in gold and silver after the weekend plummet.

VIX reversal bolsters risk appetite

Gold and silver might have entered their own bear market over the last two trading sessions, but we have already seen dip buying at the lows. The fundamentals of the trade have not changed, but now investors need to ask themselves whether they really believed in those fundamentals, or had just been beguiled by one of the most impressive momentum-driven moves of recent years.

Author

Chris Beauchamp

Chris Beauchamp has been with IG for four years, and in that time has become a regular commentator and analyst for the financial press and TV, with appearances on all the major financial channels as well as the BBC and Sky News.

GBP/USD: Downward-sloping trendline near 1.3470 remains key barrier

The British pound faces selling pressure against its major currency peers, trading 0.1% lower at around 1.3420 against the US Dollar during the European trading session on Tuesday.

Euro clings to the bid bias above 1.1500

EUR/USD has picked up pace, reversing Monday’s decline and advancing past the 1.1500 barrier on Tuesday. In the meantime, hopes for a diplomatic solution to the Middle East crisis keep the US Dollar under modest downside pressure, helping spot in its recovery.

Coinbase Bitcoin Premium Index extends historical negative streak as risk appetite deteriorates

The Coinbase Bitcoin Premium Index extends its negative streak to 78 consecutive days on Tuesday, the longest on record. This reading comes amid the ongoing bearish trend, which has seen Bitcoin (BTC) drop by almost 50% from its record high to trade around $64,000.

Why the WTI sell-off may be hiding a supply warning

Prices for the barrel of the American Oil benchmark have fallen sharply as hopes of a US-Iran agreement have resurfaced, but a deeply backwardated Oil curve, tight Cushing stocks and light speculative positioning all warn that the sell-off may have gone too far.

9-3: Is the Federal Reserve’s vote tally Warsh's new forward guidance?

The rate did not move. Neither did the statement, and that’s the more interesting fact. Set the July 29 Federal Open Market Committee (FOMC) statement beside the one issued on June 17, and the two documents are identical apart from a single verb and a paragraph at the bottom naming three dissenters.