Open: New York Session | Forex, Metals, Oil, Agriculture July 23, 2021

A member of the National Guard plays a trumpet during a flag rai

Agriculture

India is already the world’s largest producer of cotton (360 lakh bales) and cottonseed (100 lakh tonnes), over 90 per cent of which is genetically modified.

Currencies

The Swiss franc and the British pound fell 0.2% against the U.S. dollar whereas the euro was mostly flat against the dollar, with 1 euro buying $1.18. In the meantime, we should expect choppy range trade as the dollar shifts with the ebbs and flows of risk sentiment. Sluggish action in the G10 FX majors reflected a tinge of risk aversion, with the sentiment-sensitive Australian Dollar tracking lower while its anti-risk US counterpart edged up. That could see the anti-risk US Dollar and Japanese Yen extend upward while commodity-bloc currencies trade heavy alongside shares.
Gold traded in a narrow range as a stronger U.S. dollar dimmed bullion’s appeal. The ECB meeting failed to shake the currency trees, with the EURO unable to break out from the current range. If they hint at reducing QE sooner than expected ( December), the US dollar could surge. Two things matter of the US dollar.

Metals

POLR might change to the with Monday’s highs as target and could pressure commodities such as Gold or Oil. Market participants will track shares of JSW Steel, SBI Cards, Yes Bank, and Federal Bank as these companies will report their quarterly numbers today. HCL Tech and Tata Steel are among the top gainers today. Gold prices are trading up by 0.2% at Rs 47,650 per 10 grams. Meanwhile, silver prices are trading up by 0.4% at Rs 66,678 per kg. less Currently, the gold market is ranging.
Arkadiusz is the author of the monthly Market Overview reports and Gold Monitor News at Sunshine Profits. On the other hand, HCL Tech, UltraTech Cement, Tata Steel, Titan and Maruti were among the gainers. What does each mean for gold?

Oil

Meanwhile, international oil benchmark Brent crude declined 0.33 per cent to USD 73.55 per barrel. Such a move would revive the oil milling and solvent extraction industry, help generate jobs and incomes, and provide the much needed meal and oil for the country. The production in OIL declined due to less than planned contribution from workover wells, drilling wells and old wells. Unregulated import of vegetable oils, including soya oil, chokes domestic oilseeds production.
Oil prices were little changed, underpinned by expectations that supply will remain tight as demand recovers. It is about the desirability of continued large-scale import of finished product – vegetable oil.

United States

A slower-than-expected recovery in the labor market may serve to soothe tapering fears as Fed officials monitor both inflation and employment figures to set monetary policy. Chairman Powell confidently reassured the world: The Fed changed their targeted 2% inflation policy to an “average” of 2%, providing no details of how it was to be calculated. Month-on-month annualized inflation for CPI-shelter (blue), CPI-less shelter (brown), CPI-all urban (bold black), CPI-all Cleveland Fed nowcast (gray +), all calculated using log differences.
Fed Chair Jerome Powell’s recent statement means the central bank is unlikely to change its monetary policy or increase interest rates soon. Powell wants the world to believe the Fed is confidently controlling the helm, inflation is of no concern, and we should remain calm. During Trump s second two years, with Democrats in charge of the House, divided government produced a rapid and massive response to the coronavirus pandemic.
We were reassured the historic low interest rates were Despite Powell’s bravado, the Fed has no intention of raising rates back to 5-6% – ever! less Wall Street equities edged toward all-time highs on Thursday as investors digested strong corporate earnings amid revitalized reflation hopes. Wall Street futures rose, while investors awaited a flash reading on business service data for clues on the health of U.S. economy. Which country allegedly enlisted a longtime associate of Donald Trump to promote its policy interests with the U.S. during Trump s presidency?

China

In Asia, Hong Kong stocks fell as deepening concerns over Beijing’s tighter regulations weighed on sentiment.

Europe

What’s the talk EU surpasses USA in vaccinations as EU reaches 57% of the population having received 1st dose against 55.5 % in USA. With the current vaccination pace EU will most likely also takeover there within a week. less Things were mostly quiet on Thursday, short of a little intraday volatility around the ECB decision. More significant falls in rates through Europe after the ECB’s July meeting saw no change in PEPP commentary. His feature articles have been published on: FXstreet.com, Thestreet.com, Action forex, Forex TV, Istockanalyst, ForexFactory, Fxtraders.eu, Insidefutures.com, etc.
Regarding 2nd dose EU only lags a bit behind with 45 % against 48%.

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