Published November 24, 2023
The US dollar is put under pressure as BRICS members China and Saudi Arabia are advancing in the de-dollarization motives. BRICS countries China and Saudi Arabia signed a trade agreement worth $7 billion on Monday kick-starting the prime de-dollarization process.
China and Saudi Arabia’s deal is a currency swap that favors their local currencies the Chinese Yuan and the Riyal. The trade agreement is valid for three years and both the countries will settle trade in local currencies up to 50 billion Chinese Yuan or 26 billion Saudi Riyals.
READ FULL ARTICLE
SOURCE: www.watcher.guru.com
RELATED: US Dollar weakened after mixed S&P PMIs, focus shifts to PCE figures from October
Published November 24, 2023
- The DXY Index declined to 103.45, a 0.30% loss.
- The index will tally a 0.30% weekly loss as well.
- S&P PMIs showed a mixed outlook, with the manufacturing sector weakening and the service sector expanding.
The US Dollar (USD) is receding on Friday with the DXY index, which measures the value of the US Dollar versus a basket of global currencies, declining toward 103.45 on the back of mixed S&P PMIs and dovish bets on the Fed.
In line with that, the US economy is showing overall signs of cooling inflation and job creation, and soft S&P PMIs flashed signs of a weakening economy. This economic outlook makes traders believe that the Federal Reserve (Fed) will adopt a less aggressive stance, which is weakening the US Dollar.
READ FULL ARTICLE
SOURCE: www.fxstreet.com
RELATED: Gold drops below $2,000 as dollar gains, US yields pare losses
A view of ingots of 99.99 percent pure gold, which are placed in a workroom, at Novosibirsk Refining Plant, Russia’s leading gold refining and bar manufacturing plant, in Novosibirsk, Russia on September 15, 2023./ Alexander Manzyuk | Anadolu Agency | Getty Images
Published November 22, 2023
Gold prices fell below the key $2,000 per ounce level on Wednesday as the U.S. dollar rebounded from lows and Treasury yields pared losses, while expectations that the Federal Reserve will pause rate hikes limited the slide in bullion.
Spot gold was down 0.4% at $1,991.16 per ounce by 3:05 p.m. ET (2005 GMT) and set for its biggest daily decline since Nov. 10. U.S. gold futures settled 0.4% lower at $1,991.30.
“The dollar index has rallied to its daily highs and that’s limiting some buying interest in gold,” said Jim Wyckoff, senior analyst at Kitco Metals, adding that conflicting market forces are making for a steady holiday-type trade.
The dollar index rose 0.3% against its rivals, while Treasury yields pared losses after a strong initial jobless claims data unsettled a market that expects the Federal Reserve to start cutting rates around June as the U.S. economy slows.
READ FULL ARTICLE
SOURCE: www.cnbc.com
