Brent Crude closed just under its May range play ceiling and is currently consolidating just above the region. With the upcoming driving season our bias for oil moving forward is for further upside. Though moving past the years highs will be unlikely without any further catalyst. Note that beyond cyclical factors demand for oil remains…
Cable has been riding the wave of reassessment over rate cut speculations following last Wednesdays stronger than expected CPI read at 2.3%. This was reinforced by signs of a recovery in manufacturing with the Flash PMI at 51.3 above the 50 neutral point. From expectations of a rate cut in June market is now pricing…
Gold saw a sharp sell-off following the release of the US FOMC minutes suggesting a shift in bias among its member and more delays in US easing. The sharp drop to us suggests that despite the talk of demand from Central Banks for the yellow metal, the latest surge is not about hedging against inflation…
Euro managed to pick up Friday after spending the past week on a steady decline. The move strangely comes as US Durable Goods came in stronger than consensus and a dearth of Eurozone data. Ahead is another quiet day for Eurozone economic data though we look at CB Consumer Confidence in the US as a…
As financial markets in the United States and the United Kingdom observe a holiday today, trading volumes are expected to be lighter, which may contribute to reduced volatility at the beginning of the week. However, key economic data releases later in the week are likely to drive significant market movements. USD The U.S. inflation outlook…
As traders wake up to a quieter trading day on May 27, they are reminded that both the United States and the United Kingdom are observing public holidays—Memorial Day and the Spring Bank Holiday, respectively. These holidays not only bring a pause to the hustle and bustle of daily life but also cast a significant…
With the two regional, Ukraine and Israel-Gaza, not having much of an impact in the logistics chain for the moment, oil prices are about monetary policy and how it affects demand. Hopes for rate cuts have recently been dashed in both the UK and more importantly the US with persistent inflation pressures while China, the…
A stronger than expected read in UK CPI at 2.3% against a 2.1% consensus from 3.2% previously saw Cable pop up. From pricing in a rate cut in June market has had to consider the possibility of none action leading to the move up that eventually faltered. News across the pond suggests the Fed will…
The FOMC’s minutes from its previous meeting shocked many in the market as it hinted higher rates are here to stay despite the weakness seen in recent US numbers. This is a reminder to the market that the Fed’s primary concern is inflation. Unless the economy were at the brink of a recession weak data…
The Federal Reserve’s April meeting minutes revealed a persistent unease among Federal Open Market Committee (FOMC) members regarding the stubbornly high inflation rates, casting doubts on the anticipated easing of the policy rates anytime soon. Despite previous easing trends, inflation remains resilient, challenging the Committee’s 2% target. Key Highlights from the FOMC Minutes: Market Implications…