Upside risk to XAU/USD forecast of $1,850 at year’s end – Commerzbank
Gold price surged by $30 immediately after the Fed’s meeting on Wednesday evening and reached $1,960 the following day. Economists at Commerzbank see upside risks to their XAU/USD year-end forecast of $1,850. US interest rate outlook to remain the more important driver “The US interest rate outlook is likely to remain the more important driver […]
XAU/USD could suffer a correction in the next few weeks – Commerzbank
Gold climbed above $1,950 following the Fed meeting. Economists at Commerzbank expect the yellow metal to shed some of its gains in the next few weeks. Sceptical view of ETF investors “Short-term investors are pricing in an upcoming end to the rate hike cycle and rate cuts in the near future. We do not rule […]
Downside risks dominate in Sterling – Commerzbank
Everything is pointing towards tough times in the UK. Therefore, economists at Commerzbank expect Sterling to remain under pressure. Not much upside for Sterling “Little has changed about Sterling’s fundamental environment. The economic situation remains dire, inflation risks high and the BoE intent on navigating these troubled waters.” “We consider the likelihood of the BoE […]
Things set to remain tough for the Dollar – Commerzbank
The US Dollar struggles to stay resilient ahead of the US Gross Domestic Product (GDP) data. The greenback could remain under pressure on signals of a cooling of the US economy, economists at Commerzbank report. Positive review, shaky outlook “A rate hike by ‘only’ 25 bps at the next Fed meeting is now increasingly likely […]
Further limited CAD recovery potential in the medium term – Commerzbank
The Loonie continues to find it difficult to hold its ground. Economists at Commerzbank see limited CAD recovery potential in the medium term. CAD is likely to have a hard time for the time being against the EUR “In view of the robust economy and active BoC, we see further limited CAD recovery potential against […]
A surprisingly hawkish BoC might provide further support to Loonie – Commerzbank
Canadian Consumer Price Index (CPI) growth slowed further in December. Loonie rose after the data. A hawkish Bank of Canada next week could provide furthe support. CAD stronger following publication of inflation data “Even though the overall rate eased a little more than expected to 6.3% (Bloomberg 6.4%), and the core rates (median and trim) […]
Debate about the SARB’s autonomy is causing pressure on ZAR – Commerzbank
The Rand has come under pressure since the start of the week. Debates about a South African central bank’s change of mandate are pounding the ZAR, economists at Commerzbank report. Debates about a change of the SARB mandate “The plans of the governing party ANC are causing uncertainty amongst ZAR investors. They fear for the […]
XAU/USD to extend its rally on slowing inflation – Commerzbank
Gold price climbed to $1,880 at the start of the week, thereby posting an eight-month high. The US inflation data for December will be released on Thursday and could lend further tailwind to the yellow metal, economists at Commerzbank report. Inflation rate to have fallen from 7.1% to 6.5% “US inflation data could lend further […]
XAU/USD at risk of suffering a setback – Commerzbank
Gold price has chalked up gains at the start of the new year. Nonetheless, strategists at Commerzbank envisage a risk of setbacks in the yellow metal market. Any lasting recovery will require a shift in sentiment among ETF investors “Gold’s upswing is presumably due primarily to more optimism among speculative financial investors, who are generally […]