Close: London Session | Forex, Metals, Oil, Agriculture May 27, 2021



The yuan has also appreciated below 6.4 per dollar this week, its strongest level since 2018. less Share Bitcoin’s volatility has limited its adoption for payments, so entrepreneurs created stablecoins: cryptocurrencies pegged to assets such as the U.S. dollar. That is mostly down to dollar weakness, though the yuan has also done better than most other major currencies this year. Better-than-expected figures may send the US Dollar higher and gold lower.
Strong yields translate into strengthening of the dollar and weakening of the euro to 1.2160. The dollar index edged down, while gold prices slipped. US Dollar Index holds the majority of gains from the previous session as investors brace themselves for tomorrow’s inflation print. This weak dollar is relentless as a result of Fed support of the current stimulatory policy; with no signs of tapering anytime soon. The dollar index inched down, while gold prices slipped. Further, WTI also bears the brunt of the Fed’s tapering expectations, which keeps the sentiment around the US dollar buoyed.


Iron ore production and sales by NMDC Ltd stood at 3.13 million tonnes and 3.09 million tonnes, respectively. Industrial commodities, including iron ore and steel rebar, continued their downside correction, while lumber prices fell for the third session in the US yesterday. Gold prices for the latest contract on MCX are trading down by 0.3% at Rs 48,630 per 10 grams. Both global and domestic iron ore prices have soared manifold during the past twelve months of strong upcycle in several commodity prices.
While Bitcoin’s (BTC/USD) facility to provide a store of value is being questioned, its often overlooked predecessor gold has been flying under the radar to new four month highs. He follows regularly since 1970 the gold, silver and foreign exchange markets. less Gold prices retreated further during Thursday’s Asia-Pacific trade, pulling back sharply from Wednesday’s intraday high of $1,912. Radomski is the author of Sunshine Profits’ Gold & Silver Trading Alerts and many of company’s investment tools.
He follows and analyzes the gold and silver markets since 2008. >> Fabrice Drouin Ristori on Twitter is an independent investment analyst and studies the gold and silver market and their future role in the international monetary system.


INSIGHT The little engine that could, and the oil giant that couldn’t Companies with a market value of $250 billion like Exxon rarely face, much less lose, shareholder battles. Crude oil is down about half a percent to $65.90, unimpressed by yesterday’s crude oil inventories data from the United States. However, the downside appears cushioned amid the arrival of the summer driving season in the US and Europe, which could likely bump up oil’s demand. BEFORE THE BELL Futures for Canada’s main stock index fell as oil prices dropped on concerns over a potential increase in Iranian supplies.
Vertex will also buy co-related logistics infrastructure and hydrocarbon inventory, including more than 3 million barrels of crude oil and product storage. PIMCO Activists Climate concerns have moved front and center for some of the world s largest oil companies. In one particular corner of the market—bonds issued by oil companies including Shell—investors appear to be juggling their holdings to get ahead of possible changes.
On the same day, Exxon Mobil Corp. shareholders elected board members nominated by an activist investor that wants the oil giant to prepare for a post-fossil-fuel world. Oil prices dropped on concerns over a potential increase in Iranian supplies. Biden Defends Trump Approval of Conoco Arctic Oil Project Environmentalists say the government didn t adequately consider the venture s effect on polar bears and the climate.

United States

less The Powell Fed wants 2% inflation over time and has committed to let inflation run over 2% to make up for past undershoots. Thus, with current inflation dwarfing 2015 levels and U.S. banks practically throwing cash at the FED, is this time really different? The green line above tracks the daily reverse repo transactions executed by the FED, while the red line above tracks the federal funds rate. Don’t rule out >4% core CPI inflation, which will increase the tapering pressure on the Fed even more.
Meanwhile, Friday’s US core PCE price index data will also be under the spotlight as traders assess inflationary pressure and its ramifications for the Fed’s policy outlook.
He said so far things are playing out as the central bank expected, with some financial services moving to the eurozone and the U.S.Remember life before Brexit? Clearly, Wall Street will remain focused on inflation, and a large, sustained rise in prices might force the Fed’s hand. Please see below: A reverse repurchase agreement (repo) occurs when an institution offloads cash to the FED in exchange for a Treasury security (on overnight or short-term basis).
Given that Fed-sponsored inflation is purposeful debasement, the answer to my friend’s question is “of course”. Case in point: I highlighted on May 25/26 that the U.S. Federal Reserve’s (FED) daily reverse repo transactions are mirroring the volatility that we witnessed in December 2015.


Recent comments from some researchers at China’s central bank may have triggered hopes that Beijing could allow the yuan to strengthen further. Earlier this month, Hong Kong police froze Mr. Lai’s assets, including his majority stake in a popular pro-democracy newspaper, under a national-security law imposed last year by Beijing.


Thus the ECB has not yet given feedback to individual banks on its outcome,” an ECB spokeswoman said in a statement to Bloomberg. Britain s trade with the EU was 23.1% higher in the first three months of 2018 than the first quarter of this year. Five years after the Brexit vote, the EU is making an effort to achieve comparability of current practices at the banks it supervises and ensures they meet certain benchmarks. European benchmark yields are narrowly mixed after the recent declines, encouraged ostensibly by the doves pushing back against a slowing of ECB bond purchases next month.
While that hasn’t yet threatened London’s status as a global financial center, the EU says it expects these trends to continue. European Union chiefs Ursula von der Leyen and Charles Michel hold their first summit with Japanese Prime Minister Yoshihide Suga by videoconference today. Despite the worst violence in years in April, the EU refuses to back down. She dismissed U.K. demands to amend the terms of how the Brexit withdrawal agreement is implemented.
Lizzy BurdenWe aim to keep you up to date on how the U.K. navigates the world after Brexit.