In this report, we explore some trading opportunities after a volatile few weeks for FX markets.
The “September Effect” was in full force again this year as the broad-based selloff continued. Nearly all major financial assets generated outsized returns last month. In particular, the “higher for longer…
US dollar strength and rising real rates have created a toxic mix for the yellow metal over the past few months. Gold prices have fallen by 7.3% from the May peak and are on track to erase the year-to-date gains. Conditions…
In this Strategy Outlook, we present the major investment themes and views we see playing out for the rest of 2023 and beyond.
The gold/silver ratio (GSR) entered a well-defined tapered wedge formation with downside support near 80, and an upside breakout around the 90 level. Back in 2020, this ratio was caught up in a race towards major overhead…
According to BCA Research’s Commodity & Energy Strategy service, gold’s appeal as a safe haven and store of value will increase as fiscal dominance overtakes monetary dominance at the Fed. Fitch’s…
The downgrade of the US credit rating highlights the risk of fiscal dominance overriding the Fed’s long-standing monetary dominance focused on its dual mandate. This threatens to push inflation and long-term interest rates higher. It…
Caterpillar’s Q2 earnings results released on Tuesday beat consensus estimates by a wide margin. Second quarter profit of $2.92 billion ($5.67 per share) came in well above expectations of $2.38 billion ($4.46 per share).…
The Global Investment Strategy (GIS) service has been bearish on gold since the end of March, when it recommended a shift from neutral to underweight. Real gold prices are still quite elevated relative to their long-term history…
Palladium is by far the worst performing precious metal so far this year. The 30% year-to-date price decline is significantly worse than platinum’s 10% loss and contrasts with higher gold (+8%) and silver (+4%) prices.…