Further rout in prices is unlikely – TDS
Historically mild weather through January has seen natural gas demand slump well below seasonal norms. Is there a bottom in sight for gas markets? Strategists at TD Securities analyze the outlook for the commodity. Weak prices could keep production growth flat for now “We expect that weak prices could keep production growth flat for now, […]
Wild beat on NFP pummels XAU/USD – TDS
Gold price tumbles sharply after a solid January US Nonfarm Payrolls report. A break under $1,880 would exacerbate losses, strategists at TD Securities report. Pricing for rate cuts has notably reversed weekly gains “A wild beat on NFP data is creating shocking whipsaws in recent trends. Pricing for rate cuts has notably reversed weekly gains, […]
Likely to emphasize it is still determined to reach the terminal rate projected in the dot plot – TDS
On Wednesday, the Federal Reserve will announce its decision on monetary policy with a 25 basis points hike already priced in. Analysts at TD Securities point out that the tone of the FOMC regarding growth and inflation and the guidance on future potential hikes could be what moves markets. Key quotes: “We expect the FOMC […]
CAD may not receive much directional bias from next week’s meeting – TDS
Next week, the Bank of Canada will have its monetary policy meeting. Analysts at TD Securities expect a 25 basis points rate hike in line with market consensus. They point out the Canadian Dollar (CAD) may not receive much direction bias from the meeting. Key quotes: “We look for the BoC to hike by 25bp […]
XAU/USD continues to face correction risks – TDS
Gold rallied all the way up to $1,920 in the last session of the week. However, strategists at TD Securities note that the yellow metal confronts correction risks. Precious metal space is no longer in a selling mode “Reflecting the narrative that inflation pressures in the US economy are coming under control, following the release […]
KRW to remain a key beneficiary of USD weakness in the weeks ahead – TDS
Bank of Korea (BoK) decided to hike its policy rate today by 25 bps to 3.50%. Economists at TD Securities expect the Won to strengthen in the weeks ahead. Less urgency to tighten further “BoK hiked its 7-day repo rate by 25 bps to 3.50% as widely expected. The decision was not unanimous however, with […]
Considerable upside in Yen vs. US Dollar – TDS
Economists at TD Securities think the Yen will trade with an asymmetric bias that is tilted to the upside. EUR/JPY: Downside towards 130 in the coming months is likely “With the Fed ceding leadership on policy to the ECB and the BoJ, JPY trading bias remains asymmetric and with considerable room for gains.” “We expect […]