Daily Market Forecast – Gold Prices Drop as US Yields Continue Rising
Gold has come under pressure and speculators may be looking for lower values. However, U.S Crude Oil has seen consistent buying as the commodity tests new highs. · FX Empire

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The Yen, Euro, and Pound remain within their weaker boundaries versus the U.S Dollar.

EUR/USD: Euro Hit by Lackluster Inflation Results

The Euro is trading beneath the 1.23 level after weakening versus the U.S Dollar. Inflation data from the European Union remains muted, and Germany has been turning in rather disappointing economic results the past couple of weeks. The European Central Bank’s meeting later this week is not expected to produce major changes. The Euro may see more selling near term.

Gold: Speculators Targeting Support Levels Below

Early trading this morning has seen headwinds take Gold lower. The precious metal is near 1333.00 U.S Dollars an ounce after failing to find many buyers before going into the weekend. Speculators may believe Gold will struggle near term and target support around the 1326.00 juncture.

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U.S Crude Oil: Trump Warning Doesn’t Stop Climb in Crude Oil

U.S Crude Oil has received plenty of attention the past week as President Donald Trump has warned higher prices of the commodity would hurt the global economy. However, the energy has remained strong and is above 68.00 U.S Dollars a barrel and traders may look for U.S Crude Oil to still rise.

USD/JPY: Yen Remains within Weaker Realms

The Yen remains below the 108.00 level against the U.S Dollar. The Bank of Japan will conduct its monetary policy meeting late this week. The Nikkei Index has lost slight value early today. But the Yen has been relatively weak as it approaches important mid-term resistance.

GBP/USD: Bank of England’s Difficult Task

The Pound’s selloff mounted on Friday and it starts the week hovering above the 1.40 juncture versus the U.S Dollar. The Bank of England faces a tough task and economic outlook. Inflation data missed its target last week but remains rather heightened. Short term support for the Pound is around the 1.39 mark.

Yaron Mazor is a senior analyst at SuperTraderTV.

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This article was originally posted on FX Empire

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