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Oil eases near highs Oil prices are easing again on Monday after the rally lost steam around the October highs late last week. Supply issues in Kazakhstan and Libya contributed to the latter stage of the rally, with the bulk since late December coming from more promising omicron data that indicates the economic impact of the new variant will be more subdued than feared. While prices may be pulling back, aided perhaps by the broader shift in risk appetite in the markets, the fundamentals remain

Jan 10, 2022 by Craig Erlam

Sell-off gathers momentum

It was a fairly timid start to the week but the sell-off accelerated around the open on Wall Street, pushing Europe well into negative territory at the end of the day. Omicron relief has been replaced by interest rate angst over the past week and that may take some time to pass. We're seeing data from the US at the moment that appears to show supply issues abating, which should allay temporary inflation pressures, but more permanent pressures - like wages rising - which will concern central ban

Jan 10, 2022 by Craig Erlam

Aussie steady ahead of retail sales

The Australian dollar is trading quietly at the start of the week. In the North American session, AUD/USD is trading at 0.7172, down 0.14% on the day. US dollar unable to capitalize on soft NFP December job numbers in the US were mixed.

Jan 10, 2022 by Kenneth Fisher

Canadian dollar dips as US dollar recovers

The Canadian dollar has started the week in negative territory. In the North American session, USD/CAD is trading slightly below the 1.27 line.

Jan 10, 2022 by Kenneth Fisher

Euro edges lower at start of week

The euro is in negative territory at the start of the new trading week. EUR/USD is trading around 1.1320 in the European session. Investment confidence up, unemployment down The week kicked off with positive European events, although the euro was unable to gain any ground.

Jan 10, 2022 by Kenneth Fisher

Oil and gold directionless

Oil ignores US jobs data Oil prices were almost unchanged on Friday, with Brent crude and WTI maintaining their gains even as headline US jobs data came in soft. Brent crude edged 0.20% lower to USD 81.80, and WTI fell 1.0% to USD 78.85 a barrel.

Jan 10, 2022 by Jeffrey Halley

The US dollar retreats

US dollar dips after weak nonfarm payrolls Perhaps the most surprising move post the US Non-Farm Payrolls, came from the US dollar, which staged a sharp retreat versus major currencies, even as US yields rose. The dollar index slumped 0.52% to 95.74, before recovering to 95.90 in Asia today.

Jan 10, 2022 by Jeffrey Halley

Asian equities diverge

Asian markets look for direction Friday’s US data dump saw the interest rate hawks win the day, thanks to both the participation and unemployment rate tumbling lower. That saw US equities retreat once again, although a soft Non-Farm headline print took the edge of the negativity.

Jan 10, 2022 by Jeffrey Halley

Asia struggling for conviction

US jobs data a mixed bag The conflicting hodgepodge of US employment data released on Friday night hasn’t given Asia much in the way of themes to hang their hats on today, complicated by a Japanese holiday reducing liquidity. An underlying theme of caution still permeates the region, but it is a very mixed picture in equity markets across the region, while currency markets look like they are stuck in the mud, going nowhere fast. On Friday, the US Non-Farm Payrolls disappointed, adding only 199

Jan 10, 2022 by Jeffrey Halley

Market Insights Podcast (Episode 279)

Jonny Hart looks back on the week's business and markets news with OANDA Senior Market Analyst Ed Moya in New York. This week they discuss the mixed nonfarm payroll report, FOMC rate and balance sheet expectations, what was behind the moves with oil's strong price rally, and the poor first week of trade for cryptos. They also discuss what the week ahead has in store for financial markets.

Jan 7, 2022 by Edward Moya

Week Ahead - Earnings season is upon us

It's been quite the start to the year, with omicron fears subsiding only to be replaced by interest rate anxiety once more. This could be the theme for the coming months, as policymakers are forced to take inflationary pressures more seriously in the hope that a little now will prevent the need for a lot more later.

Jan 7, 2022 by Craig Erlam

Commodities and Cryptos: Oil pares weekly gain, Gold’s bad week could have been worse, Tough week for cryptos

Oil After a robust trading week, oil prices had a choppy Friday session after reports that Kazakhstan did not have to halt any oil and gas production and following the latest employment report that still paved the way for a March Fed rate hike. While optimism is high that the omicron variant impact on the crude demand outlook will be short-lived, it is too early to be optimistic that the worst of this wave is over. The US CDC Director noted that the US hasn't seen the peak of this covid wave

Jan 7, 2022 by Edward Moya

NFP React: Wages and Unemployment suggest March is a go for the Fed, Yields rise

A big deceleration in hiring will do little to change the Fed’s hawkish course. Today's nonfarm payroll report required a good look at all the numbers and not just the headline miss.

Jan 7, 2022 by Edward Moya

Oil rally, bullish gold case weak, bitcoin lower

Oil at two month high as OPEC struggles to hit quotas Oil prices are continuing to climb at the end of the week as unrest in Kazakhstan and lower output from Libya further hamper producers' ability to gradually return to pre-pandemic levels. We are already seeing OPEC+ struggle to deliver the agreed 400,000 barrel per day increase and this is further exacerbating the problem. And it's happening at a time when demand is expected to remain strong thanks to omicron symptoms being mild by comparison

Jan 7, 2022 by Craig Erlam

Pressure mounts on central banks

Jobs report adds to inflation fears Stock markets are back in the red on the final day of the week as investors continue to fret about the prospect of higher interest rates this year. Whether this is just an exhaustion of the omicron relief trade, a case of January blues that will quickly be forgotten once earnings season gets underway next week, or something more significant will only become clear later this month. But the data isn't offering investors much chance for relief and the jobs repor

Jan 7, 2022 by Craig Erlam

Pound steady as markets eye NFP

UK Construction PMI cools off The UK Construction PMI for December indicated that growth at cooled off and fallen to a 3-month low. The PMI slowed to 54.3, down from 55.5 in November.

Jan 7, 2022 by Kenneth Fisher

Canadian dollar calm ahead of job reports

The Canadian dollar is on a holding pattern ahead of key Canadian and US employment reports later today. Currently, USD/CAD is trading just above the 1.27 line. Nonfarm payrolls could shake up US dollar It could be an active North American session for the Canadian dollar, with the release of Canada's job creation numbers and the US nonfarm payrolls.

Jan 7, 2022 by Kenneth Fisher

Yen hovers just below 116

All eyes are on US nonfarm payrolls, perhaps the monthly highlight on the economic calendar. An interesting prelude to nonfarm payrolls was the ADP employment report on Wednesday.

Jan 7, 2022 by Kenneth Fisher

Kazakhstan bites bitcoin

Bitcoin volatile over Kazakhstan unrest Bitcoin and other digital Dutch tulips have endured a torrid week thus far, with bitcoin falling 4.0% to USD 41.400.00 in Asian trading. Kazakhstan is the world’s second-biggest bitcoin mining hub and while Russian troops are shooting protestors there to restore order, bitcoin mining and the internet have been taken offline.

Jan 7, 2022 by Jeffrey Halley

Oil rises on supply disruptions, gold slides

Oil rallies impressively As mentioned yesterday, oil’s price action is bullish, as it shrugged off a series of seemingly bearish news inputs over the last 48 hours. That news swung the other way overnight, with domestic protests disrupting local production, and with the arrival of Russian paratroopers to restore order.

Jan 7, 2022 by Jeffrey Halley

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