XAUUSD
XAUUSD prices have shown resilience throughout the week, marking a 1.8% increase, poised for the most substantial weekly gain in seven weeks. As of 0335 GMT, spot gold is steady at $2,053.89 per ounce, while U.S. gold futures remain flat at $2,071.10. The rally is attributed to the retreat of the dollar and Treasury yields, with traders closely monitoring key U.S. jobs data to assess the potential timing of Federal Reserve interest rate cuts.
The stability in XAUUSD prices suggests that investors continue to view the precious metal as a safe-haven asset amid uncertainties. The current geopolitical tensions, highlighted by unverified reports of a ceasefire between Israel and Hamas, add to the appeal of gold. As traders await the U.S. jobs data, any unexpected developments could trigger volatility in gold prices.
Entry Suggestion: Considering the current upward momentum and geopolitical uncertainties, a long position in gold may be considered. Traders should monitor the U.S. jobs data closely for potential market-moving information.
AUDUSD
The Australian Dollar is recovering from a three-month low, reaching 0.6508 on Thursday, and continues its upward momentum on Friday. The weakening of the U.S. Dollar, driven by mixed economic data from the United States, contributes to the AUD's strength. Positive Aussie Producer Price Index (PPI) data further supports the Australian Dollar, with a YoY growth of 4.1% in Q4, surpassing the previous growth of 3.8%.
The economic data from Australia and the downward pressure on the U.S. Dollar contribute to the AUD's positive trend. Traders will likely monitor ongoing economic indicators, especially those from the U.S., for potential shifts in the currency pair.
Entry Suggestion: Considering the AUD's upward momentum and positive economic data, a long position in AUDUSD may be considered. Traders should keep an eye on any developments in U.S. economic data that could impact the U.S. Dollar.
WTI
WTI prices experienced a rise on Friday following the decision by OPEC+ to maintain its oil output policy unchanged. Despite this positive development, both Brent crude and U.S. West Texas Intermediate (WTI) crude are on track for weekly losses. Brent crude futures climbed 44 cents, or 0.6%, to $79.14 a barrel, while WTI crude futures gained 36 cents, or 0.5%, reaching $74.18 a barrel by 0730 GMT.
The uncertainty surrounding the unverified reports of a ceasefire between Israel and Hamas has contributed to the overall weekly losses in oil prices. OPEC+ deciding to keep its oil output policy unchanged, with a decision on extending voluntary production cuts expected in March, adds an element of stability to the oil market.
Entry Suggestion: Given the mixed signals in the oil market, traders may exercise caution. Monitoring geopolitical developments and OPEC+ decisions will be crucial. A neutral position or a carefully managed short-term trade might be considered.
Summary
XAUUSD prices show resilience with a significant weekly gain, driven by a weaker dollar and Treasury yields.
The Australian Dollar strengthens against the U.S. Dollar, supported by positive economic data.
WTI prices rise following OPEC+ decision, but weekly losses persist due to geopolitical uncertainties.
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