Welcome to this week’s Market Blast Fundamentals where we will look at WTI (US Oil), NZDUSD, USDCAD, Gold (XAUUSD), EURGBP, USDNOK, and EURUSD.
We still see general USD weakness but this may change with some good news from the Coronavirus front, the FOMC minutes Wednesday, and some decision from the US Congress on the next stimulus package where talks seem to have stalled.Any negative news, of course, will affect the price of Gold where investors are keen to “buy-the-dip”.If we look at the Daily chart on USDNOK we see that the Krona has returned to pre-COVID levels but watch Thursday for the Norwegian Interest Rate decision where we expect volatility.
We see Retail sales figures due from Australia, the UK, Canada and New Zealand this week and all these will give us a good idea if consumers are able to spend and regenerate their economies during the Coronavirus pandemic.
Individually on these currencies, we see AUD strength except against the Euro.GBP is consolidating but watch for news on Brexit this week as talks continue.
CAD is getting stronger, mostly based on the slowly increasing demand for Crude Oil.
And still we see general weakness on the NZD.
OPEC will be meeting this week so keep an eye on Brent Crude and WTI, both futures and Cash, as any agreements to cut production, or good news on the Coronavirus, may drive prices higher.
That’s all for now. Happy trading with Valutrades and we will see you tomorrow.
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