Close: London Session | Forex, Metals, Oil, Agriculture August 26, 2020



China is stepping up American soybean buying, taking advantage of lower prices. Pulitzer Prize-winning essayist and 1619 Project contributor Nikole Hannah-Jones condemned Mr Cotton’s comments on Sunday.


The quotation for Gold Quanto futures, quoted in US dollar, will be Indian gold price quoted per 10 grams and for Silver Quanto, Indian silver price quoted per kg. As confidence in the dollar is eroded due to Fed money printing and congressional super-deficits, investors will gradually look for alternative stores of wealth, including gold. FOREX: The dollar and the euro traded cautiously as investors refrained from taking risky bets a day ahead of a key speech by Federal Reserve Chairman Jerome Powell.
The dollar is mixed with the Antipodean currencies and yen performing better than the euro and Swiss franc, which are nursing small losses. As the dollar price of gold really begins to soar, investors will take notice. Eventually, confidence in the dollar will be lost completely, central bankers will need to restore confidence, and they’ll turn to some type of gold standard to do so. Again, higher rates and a strong dollar could be the one thing that messes the equity market rally up.
With a 10 billion euro valuation, that would equate to around 34p per share, rising to around 68p per share at the 20 billion euro level. China’s yuan sets another 7-month high on Wednesday, as some banks sold the dollar, according to four foreign-exchange traders. As long as investors and institutions are forced into a dollar-based system, then control of the dollar equates to control of those institutions.


Even sophisticated investors are accustomed to hearing gold ridiculed as a “shiny rock” and hearing serious gold analysts mocked as “gold bugs,” “gold nuts” or worse. It’s not too late to add to your gold allocation before new restrictions on gold buying or gold ownership are imposed. Despite the recent run-up in gold prices, we believe gold remains attractively valued – one might even say cheap – in the context of historically low real interest rates. Gold is the competitor to central bank money and most central banks would prefer to ignore gold.
Hubert is an independent gold and silver analyst who specializes in fractal analysis and the fundamentals of gold and silver . … more Hubert is an independent gold and silver analyst who specializes in fractal analysis and the fundamentals of gold and silver . Ditto for gold prices; some see the massive rally as a sign the momentum will continue, while others assume gold will sell off soon because of the steep run-up.
In 2002 when gold was $300 per ounce, MAM recommended to its investors to put 50% of their investment assets into physical gold stored outside the banking system. Just like gold, we remain bullish on silver due to the same fundamental factors mentioned above (regarding gold). Of course, gold is volatile (well, the paper gold market is volatile) and has its down days alongside the up days.


An industry body forecasted crude oil inventories to have fallen by 4.5 million bbl compared to the 3.7 million bbl estimate in the Reuters poll. Oil is meanwhile holding at a five-month high of $43 per barrel amid a threat that some of America’s largest oil refineries could be shut for months. If oil breaks above $43.50 – $44 level, oil can probably move into a higher trading range of around $45 – $50/$55. Crude oil temporarily traded near its highest level in five months.
Still, the broader narrative of downward pressure on prices remained the same and oil remained steadfastly stuck in its current trading range. The Bureau of Safety and Environmental Enforcement(BSEE) reported that 84.3% of Gulf of Mexico oil production had been shut in and 60.94% of natural gas production. BEFORE THE BELL Canada’s main stock index’s futures inched lower, dragged by falling oil prices on the back of renewed fears over the COVID-19 pandemic. That is over 1.5 million barrels of oil per day.
Going forward, I see more potential upside, especially within the energy sector, as oil prices have stabilized since hitting all-time lows in March.
**Whilst the oil and gas industry to which they service has high economic sensitivity, given the more stable nature of the midstream sub-industry this was deemed to be average.

United States

The market expects the Fed Chair to upend a decades-long policy of capping inflation, instead of letting it rise going forward, with the hope this will spur growth. So far, the fed aimed to cap consumer prices below 2% and raised rates amid an outlook indicating that inflation would move higher. Outside of a couple of paragraphs from Melania Trump s speech, one would hardly know that many businesses are still closed and many more have failed. Since small firms are the lifeblood of the US economy, with many now closing for a second time, Tyler Durden (pseudonym) is the lead writer at ZeroHedge.
Indeed, until the March shutdowns, unemployment had collapsed to historically low levels without inflation even hitting the Fed’s 2% target. Yet the convention featured Americans and political leaders heaping praise on Mr Trump’s economic stewardship, describing the economy in glowing terms that no longer apply to many Americans. Wall Street analysts seem to share this sentiment, with an average price target of $4.00 per share, which sits comfortably above where shares are trading at today.
(Source: NASDAQ Apple short interest page) As the yellow boxes show, this was only the third report with short interest under 30 million shares. We can just take the US as an example since it is the biggest economy in the world and also the most vulnerable. As Reuters notes, the disconnect between employment and inflation has become a chronic problem not only for the Fed but for central bankers around the world.


Beijing is set to snap up a record 40 million tons this year as rival Brazilian supply dries up, people familiar said. China is looking to charm Europe to push back against a U.S. campaign for allies to shun cooperation with Beijing. After all, following the Tuesday incident Beijing in a veiled threat said .


After issuing new travel advisories targeting fellow EU members, Germany on Wednesday said it would scrap mandatory free coronavirus tests for returning travelers, a measure introduced earlier this month. The European pharmaceuticals vaccine lobby is pushing the EU for certain liability protections as drugmakers around the world rush to develop a coronavirus vaccine. Germany will use its share of the EU rescue program to avoid taking on more debt rather than fund new initiatives.
Boris Johnson has called for a “transparent investigation” into the suspected poisoning of Russian opposition leader Alexei Navalny, who remains in a coma in hospital. Unless there’s a fresh economic emergency, the ECB should be thinking of how to relax this brake on valuations. The U.K. left the European Union in January, but will only feel the economic impact when a transitional trade agreement expires on Dec. 31. The ECB has done everything it can to maintain the stability of Europe’s finance system during the Covid crisis, writes Bloomberg Opinion’s Marcus Ashworth.
His feature articles have been published on:,, Action forex, Forex TV, Istockanalyst, ForexFactory,,, etc.