Pound Sterling outperforms as BoEs slight dovish bets keep downside limited
The Pound Sterling (GBP) outperforms its major peers on Tuesday, with investors focusing on Middle East tensions driving market sentiment. In Tuesday’s Asian session, Iran's Foreign Minister Abbas Araqchi issued a warning to Israel that the nation will face a strong retaliation if it attempts to attack their infrastructure. Though the British currency also carries a negative correlation with the risk-aversion theme, market expectations for the Bank of England's (BoE) shallow policy-easing cycle keep the downside limited.
Market participants expect the BoE to cut interest rates again in one of the two meetings remaining this year. On the contrary, the European Central Bank (ECB) and the Fed are expected to cut their borrowing rates by 25 bps in each of their remaining meetings this year. BoE’s rate cut prospects for November have improved after last week’s comments from Governor Andrew Bailey, which indicated that the central bank could cut interest rates aggressively if price pressures decline further. Read more...
GBP/USD Forecast: Pound Sterling remains fragile as markets turn cautious
After closing in negative territory on Monday, GBP/USD staged a modest recovery early Tuesday but lost its traction after meeting resistance near 1.3100. The pair's technical outlook suggests that sellers look to retain control in the near term.
The negative shift seen in risk mood at the start of the week caused GBP/USD to edge lower. Early Tuesday, investors adopt a cautious stance amid growing concerns over an economic downturn in China. Read more...
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EUR/USD struggles to recover above 1.1000 ahead of Fedspeak
EUR/USD holds ground on upbeat German Industrial Production data on Tuesday but finds it difficult to clear the 1.1000 hurdle. In the absence of high-tier macroeconomic data releases from the US, investors will pay close attention to comments from central bankers.
GBP/USD holds steady near 1.3100 as mood sours
GBP/USD trades in a tight channel at around 1.3100 following Monday's decline. The negative shift seen in risk mood doesn't allow the pair to gather recovery momentum as investors await comments from Federal Reserve policymakers.
Gold pierces $2,630 and aims for lower lows
Spot Gold trades with a modest downward bias for the fifth consecutive day, hovering at around $2,645 a troy ounce after the US opening. The XAU/USD pair has been shedding some ground in the last few days, albeit still far from suggesting an interim top at the record high of $2,685.45 posted in September.
Bitcoin eyes for $66,000 mark as ETF records inflows on Monday
Bitcoin (BTC) hovers slightly above $62,000 on Tuesday after a minor decline on Monday, buoyed by positive signs such as over $233 million in inflows into US Spot BTC Exchange Traded Funds (ETFs).
RBA widely expected to keep key interest rate unchanged amid persisting price pressures
The Reserve Bank of Australia is likely to continue bucking the trend adopted by major central banks of the dovish policy pivot, opting to maintain the policy for the seventh consecutive meeting on Tuesday.
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