Headlines:
- Gold bulls on edge ahead of Fed Chair Warsh speech at Jackson Hole
- US futures hold higher, bolstered by Nvidia earnings
- Policymakers concluded that risks to the inflation outlook are tilted to the upside – ECB accounts
- ECB’s Radev says October and December meetings remain ‘live’, policy to be guided by economic data
- BOJ policymaker Himino says won’t comment on market expectations on rate hike
- Will Warsh play it cool and let Bessent take the wheel for now?
- US administration reportedly mulling over fresh round of tariffs on semiconductors
- Germany consumer sentiment set to improve further going into September
Markets:
- AUD leads, GBP lags on the day
- European equities mostly lower; S&P 500 futures up 0.4%
- US 10-year yields down 0.5 bps to 4.658%
- WTI crude oil up 0.3% to $82.50
- Gold up 0.1% to $4,595
- Bitcoin up 1.3% to $79,479
There wasn’t all too much happening on the session here today, with markets slowly gearing towards Fed chair Warsh’s keynote speech in Jackson Hole tomorrow.
That will be the main event to wrap up the week. So, traders and investors remain very much guarded and more pensive in trading so far today.
The US dollar is holding steadier across the board, with light changes all around. EUR/USD is down 0.1% to 1.1638 with USD/JPY up 0.1% to 159.48 on the day while AUD/USD is up 0.2% to 0.7180.
That comes as risk sentiment is breathing easier, with US futures buoyed by Nvidia’s earnings beat yesterday. The chip giant is seeing shares up by nearly 6% in pre-market, boosting S&P 500 futures by 0.4% and Nasdaq futures by 0.9% on the day. In Europe, equities are not quite as buoyant with most major indices holding lower to start the morning.
A notable piece of news was Trump perhaps eyeing fresh tariffs on semiconductors but that hasn’t put a dent whatsoever on tech shares on the session.
In other markets, Treasuries continue to meander for the most part while gold is seen up slightly to $4,595 but down from highs of $4,642 earlier in the day. The precious metal is hoping to retain some upside momentum ahead of Jackson Hole, in what will be a dogfight to end the week it would seem.
This article was written by Justin Low at investinglive.com.