A record high close and 9-year low in realized volatility for US equity markets this past week is drawing skepticism rather than confidence. And, important event risk ahead may settle the score.
The Dollar’s performance this past week was uneven but ultimately positive for the Dow Jones FXCM Dollar Index.
The Bank of England (BoE) Minutes are widely expected to show another 7-2 split within the Monetary Policy Committee (MPC) as the majority retains a wait-and-see approach, and the policy meeting minutes may do little to increase the appeal of the British Pound as the central bank curbs its growth and inflation forecast.
The Swiss Franc is unlikely to find lasting momentum if the outcome of a pivotal referendum on SNB gold policy pushes EUR/CHF below the central bank’s 1.20 floor.
The Aussie’s good fortunes over the past week may be vulnerable to shifting as elevated volatility levels stand to detract from its yield appeal.
Gold Forecast -Gold Topside Targets Favored on Dovish FOMC Minutes- 1170 Support
Gold prices are higher this week with the yellow metal rallying 1.11% to trade at $1189 ahead of the New York close on Friday.
