News & Analysis

Indices drop, dragged lower by banking and energy stocks as oil prices tumble on recession worries and banking crisis fears ramp up.

Vincent Deluard argues that the resilience of the economy and the tightness of the labor market is bad news for a stock market whose rich valuations rely on low rates and record margins. Earnings downgrades and missed forecasts could trigger stocks to move lower.

In this week’s edition, we discuss the yen, gold, dollar and yields

With the latest FOMC meeting in the rear-view mirror, Fed observers can now shift their focus to the Fed’s preferred inflation gauge (core PCE).

USD/CAD is forming a potential descending triangle pattern into 1.3650 support ahead of key data tomorrow.

Arlan Suderman notes that financial markets continued to rally after yesterday’s 25 basis point rate hike, as the central bank suggested an end to rate hikes is near by removing a line from its statement about "ongoing increases." Federal Chair Jerome Powell did his job, keeping Federal Open Market Committee (FOMC) members on the same page, while speaking with confidence regarding the economy and the banking sector. Will announcing a peak in rates be a mistake?

The USD post-Fed plunge is threatening exhaustion as a six-day sell-off approaches key technical support. Levels that matter on the DXY short-term technical charts.

AUD/USD may track the negative slope in the 200-Day SMA (0.6759) as a bear flag takes shape.

Rhona O'Connell notes that Gold edged higher before and during yesterday’s FOMC meeting, closing on the $2,000 per ounce level last seen in august 2020, and 14% up year-to-date. Gold will end the year at $2,070 per ounce in the view of O'Connell, StoneX Head of Commodity Market Analysis for EMEA & Asia.