Forecasts & Analysis | Fundamental, Page

JPMorgan and Citi beat on the top and bottom lines

Tropical depression 15 emerges

Geopolitics continues to buoy prices

BOJ Governor Haruhiko Kuroda said on Tuesday the central bank would not hesitate to take additional easing steps if risks to the economy grow and threaten momentum toward its 2% inflation target.

On Tuesday, the Canadian and Mexican dollars are trading sideways. With no key U.S. numbers in the Tuesday session, traders can expect limited movement in the North American session. The British pound has posted slight gains on the day.

Crude oil has steadied on Tuesday, after starting the week with losses. The U.S. trade talks remain in the spotlight, and any positive developments in the negotiations could raise oil prices.

There are no major economic releases in the United States on Tuesday, but it is the start of earnings season on Wall Street. Although most analysts are forecasting a weak earnings season, today’s session started with a bang with a number of major companies posting big earnings beats.

It seems U.S.-China trade relations will be the main focus for traders for several weeks or until the two economic powerhouses sign the “Phase One” trade agreement. So expect a volatile two-sided trade.

The shift in the weather pattern has been just enough so far to chase out a few of the weaker shorts. The stronger short-sellers want to see stronger evidence of a prolonged cold spell.

GBP/USD has recovered back towards recent highs but was little moved by the UK jobs report as investors continue to focus on Brexit developments.

Silver continues to have a quiet week. The metal remains close to $17.50 and is showing little appetite for a substantial in either direction. However, a breakthrough in the U.S-China talks could shake up the silver markets.

After a sharp push higher last week, EUR/USD has fallen into a range below the 50-day moving average.

Wednesday’s Asian session was calm, as the Chinese yuan and NZ and Australian dollars are steady. The RBA minutes were dovish, and New Zealand will release CPI for the third quarter.

Chinese imports and exports ease

A “risk off” day on Monday should keep the pressure on the USD/JPY. This is already being fueled by a report from Bloomberg News that said China needed to have further discussions before it would sign off on the so-called “phase one” trade deal President Donald Trump announced on Friday.

Gold could continue to rally on Monday if today turns into a full-blown “risk-off” session with investors shedding risky assets and hedging their exposure in gold, Treasury bonds and Japanese Yen.

GBP/USD jumped higher last week on news that the UK is coming closer to reaching a Brexit deal. However, headlines over the weekend showed there is still quite a bit that needs to be accomplished to seal a deal, causing a bit of a pullback in the exchange rate.

EUR/USD made a significant bullish technical break after crossing above the 1.10 handle last week and is holding above the important technical area at the start of the week.

Today’s early weakness suggests the trade deal may have already been priced into the market and without any fresh developments, traders are reluctant to drive prices beyond Friday’s high.

Early in the session on Monday, we’re going to be watching the price action. Later in the session, the weather forecasts will be updated. We should find out at that time if the early rally is being fueled by a forecast calling for increased demand over the next 11 to