Market Information

Silver price (XAG/USD) extends its winning streak for the fourth trading day on Wednesday. The white metal rallies further to near $90.00 during the Asian trading session as demand for safe-haven assets remains firm amid geopolitical tensions.

West Texas Intermediate (WTI), the US crude oil benchmark, is trading around $60.70 during the Asian trading hours on Wednesday. The WTI price declines as Venezuela resumes exports and the American Petroleum Institute (API) shows a big build in US crude inventories.

China's Trade Balance for December, in Chinese Yuan (CNY) terms, arrived at CNY808.80 billion, widening from the previous figure of CNY792.57 billion.

USD/CAD remains stronger for the second successive session, trading around 1.3900 during the Asian hours on Wednesday.

AUD/USD holds ground after registering modest losses in the previous session, trading around 0.6680 during the Asian hours on Wednesday.

The GBP/USD pair trades in negative territory around 1.3425 during the Asian trading hours on Wednesday, pressured by renewed US Dollar (USD) demand. Traders brace for the US Retail Sales and Producer Price Index (PPI) data later on Wednesday.

NZD/USD extends its losses for the second successive day, trading around 0.5730 during the Asian hours on Wednesday.

Gold price (XAU/USD) rises to around $4,600 during the early Asian session on Wednesday. The precious metal gains momentum as traders firm up bets on US interest rate cuts after the release of inflation data.

EUR/USD trades with losses on Tuesday even though the latest inflation in the United States was benign, hinting that the Federal Reserve could indeed reduce interest rates as priced in by the financial markets. At the time of writing, the pair trades at 1.1642, down by over 0.20%.

The USD/JPY pair jumps to near 159.15, the highest since July 2024, during the early Asian session on Wednesday. The Japanese Yen (JPY) weakens against the US Dollar (USD) amid concerns about looser fiscal and monetary policy in Japan.

Federal Reserve (Fed) Bank of Richmond President Thomas Barkin said on Wednesday that countries that safeguard monetary policy autonomy tend to achieve better economic outcomes, as political pressure on the US Federal Reserve remains in focus.

Silver price (XAG/USD) registers gain of 2% on Tuesday after reaching an all time high of 89.11 as the Greenback recovers amid a soft inflation report in the United States. At the time of writing, XAG/USD trades at $86.91 after bouncing off daily lows of $83.45.

Gold (XAU/USD) retreats modestly on Tuesday following the release of December’s inflation data in the US, which confirmed that prices remain stable, an indication that further rate cuts by the Federal Reserve may lie ahead.

The US Dollar (USD) resumed its robust recovery on Tuesday, leaving behind Monday’s pessimism as investors continued to assess the latest US CPI data while gearing up for further inflation readings, Retail Sales and comments from Fed officials.

The Australian Dollar (AUD) trades on the back foot against the US Dollar (USD) on Tuesday, pressured by a firmer Greenback following the release of the latest US inflation figures. At the time of writing, AUD/USD trades around 0.6677, retracing all of the previous day’s gains.

West Texas Intermediate (WTI) US Oil trades around $60.80 per barrel on Tuesday, up 2.45% on the day, extending a four-day bullish move. The US Crude Oil benchmark has returned to its highest levels in two months, supported by a renewed surge in geopolitical tensions in the Middle East.

USD/CAD trades around 1.3880 on Tuesday at the time of writing, virtually unchanged on the day, amid mixed macroeconomic signals from the United States (US) and Canada-specific supportive factors.

The Japanese Yen (JPY) weakens further against the US Dollar on Tuesday as the Greenback strengthens following the release of the latest US inflation report. USD/JPY trades around 159.00 at the time of writing, hovering near levels last seen in July 2024.

Fed’s Musalem (St Louis) said the US economy is likely to grow at or above its potential in 2026, helped by fiscal support and the lagged effects of earlier rate cuts.

The British Pound turns negative on the day, yet it remains near its Tuesday’s opening price after the latest inflation report in the US indicates that the Federal Reserve could continue to ease policy in 2026. The GBP/USD trades at 1.3450, down 0.03%.

The Euro (EUR) recovers modestly against the British Pound (GBP) on Tuesday, trimming earlier losses after attracting dip-buying interest near the 0.8650 region.

The Japanese Yen (JPY) fell 0.5% against the US Dollar (USD), underperforming all G10 currencies, as speculation over PM Takaichi’s snap election drove renewed selling and pushed USD/JPY toward levels last seen in early 2025, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.

The Euro (EUR) is trading flat to the US Dollar (USD) and consolidating in a tight range following Monday’s attempt at a bullish reversal of the pullback from mid/late December, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.

Gold (XAU/USD) edges modestly higher on Tuesday as traders react to the latest US inflation data. At the time of writing, XAU/USD trades around $4,615, up nearly 0.6%, just shy of Monday’s record high near $4,630.

USD/CHF trades around 0.7980 on Tuesday at the time of writing, up 0.10% on the day, but off its intraday high following the release of US inflation data.

Platinum prices surged alongside Gold and Silver, narrowing its undervaluation relative to Gold, with the Gold/Platinum ratio now just under 2, a level last seen in June 2023, Commerzbank's commodity analyst Carsten Fritsch notes.

The Euro (EUR) holds firm against the US Dollar (USD) on Tuesday as traders show a limited reaction to the latest US inflation data. At the time of writing, EUR/USD trades around 1.1667, consolidating as the Greenback retains a firmer tone.

The Canadian Dollar (CAD) is trading little changed on the day. Along with a minor gain for the MXN and the generally firmer USD, there is a mild bid for North American FX across markets, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.

ADP Employment Change Weekly in the United States (US) rises to 11,750 per week on average for the four weeks ending December 20, from a revised 11,000 previously, according to Automatic Data Processing (ADP).

The British Pound (GBP) pushes higher against the Japanese Yen (JPY) on Tuesday, supported by broad-based Yen weakness as political developments in Japan weigh on sentiment.

The Australian Dollar remains trading within previous ranges against its US counterpart, as the pair’s recovery from the 0.6660 area was capped at 0.6725 on Monday before pulling back to 0.6700.

The Japanese Yen (JPY) fell 0.5% to 158.91 per US Dollar (USD), hitting its weakest level since July 2024, as speculation of a snap election under PM Takaichi triggered renewed selling, ING's FX analyst Francesco Pesole notes.

JPY and JGB slide, while the Nikkei rallies as Japan election talks fuel bets of more government stimulus.

Markets have started to rethink some of their USD-bearish Fed independence bets, following several pushbacks against the Department of Justice's probe into Jerome Powell from Republican lawmakers.

US Dollar (USD) has stabilized following yesterday’s dip triggered by heightened political threat to the Fed’s independence.

EUR/GBP trades in a tight range around 0.8660 on Tuesday, virtually unchanged on the day at the time of writing.

EUR/USD missed an opportunity to break above 1.1700, with the euro lacking momentum while the US Dollar (USD) could strengthen further on upcoming inflation data, ING's FX analyst Francesco Pesole notes.

The AUD/JPY pair trades 0.3% higher to near 106.46 during the European trading session on Tuesday. The pair jumps higher as the Japanese Yen (JPY) underperforms its peers amid uncertainty surrounding Japan’s political outlook.

Gold (XAU/USD) posts moderate losses in a calm trading session on Tuesday, pulling back from all-time highs at $4,630, but still above previous highs in the $4,560 area.

US Dollar (USD) is likely to trade in a range between 6.9620 and 6.9820. In the longer run, USD remains neutral but is now expected to trade in a lower range of 6.9520/6.9900, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Copper prices rose toward record levels as ongoing supply concerns coincide with strong US imports ahead of potential tariffs, keeping markets on edge, ING's commodity experts Ewa Manthey and Warren Patterson note.

USD is likely to continue to rise; the level to watch is 158.90, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Gold surged to fresh record highs above $4,600 an ounce as geopolitical tensions, fiscal uncertainty, and strong central bank buying fueled demand for safe-haven assets, ING's commodity experts Ewa Manthey and Warren Patterson note.

New Zealand Dollar (NZD) could rise further; overbought conditions could limit any gains to a test of 0.5785. In the longer run, for the time being, NZD is likely to trade in a range between 0.5720 and 0.5805, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Speculation that Prime Minister Takaichi may call a snap election has pushed Japanese government bond yields higher and sent the yen weaker, driving USD/JPY back toward 159.

Silver prices (XAG/USD) rose on Tuesday, according to FXStreet data. Silver trades at $85.74 per troy ounce, up 0.68% from the $85.17 it cost on Monday.

The US Dollar has found support at 0.7955, after retreating from highs near 0.8020 against the Swiss Franc on Monday.

Gold (XAU/USD) remains on the defensive below the $4,600 mark through the first half of the European session on Tuesday, though it remains close to the all-time peak, touched the previous day, amid a supportive fundamental backdrop.

The US Bureau of Labor Statistics (BLS) will publish December’s Consumer Price Index (CPI) report on Tuesday at 13:30 GMT. The report is expected to show that prices remained broadly stable in the last month of 2025.

Dow Jones futures edge lower by 0.09% to near 49,750 during the European session on Tuesday, while S&P 500 and Nasdaq 100 futures decline 0.08% and 0.14% to near 7,010 and 25,920, respectively.