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The global market changed overnight! US credit collapses gold rushes 3240
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Hello everyone, today XM Foreign Exchange will bring you "[XM Foreign Exchange Market Analysis]: Global market changes overnight! US credit collapses, gold rushes 3240". Hope it will be helpful to you! The original content is as follows:
On May 19, in the early trading of Asian market on Monday, Beijing time, the US dollar index hovered around 100.73. The latest round of economic data on Friday showed that U.S. import prices rebounded in April, while consumer confidence was still sluggish in May. The US dollar index fell first and then rose, and once returned to the 101 mark during the session, but failed to stand firm above this mark and finally closed up 0.18% to 100.99. The benchmark 10-year U.S. Treasury yield closed at 4.484%; the two-year U.S. Treasury yield closed at 4.014%. Spot gold fell more than 2% last Friday to an intraday low of $3,154.29. Although it recovered some lost ground in the late trading, it still hit its worst week since November last year, and finally closed down 1.18% to $3,202.27 per ounce. Spot silver finally closed down 1.1% at $32.26 per ounce. Affected by Moody's downgrade of the U.S. credit rating, spot gold rose sharply on Monday and approached the $3,240 mark. The two oils rebounded, with WTI crude oil closing up 1.1% to $61.87 per barrel; Brent crude oil closing up 1.03% to $64.90 per barrel.
Analysis of major currencies
Dollar Index: As of press time, the US dollar index hovers around 100.73. The dollar fell nearly 9% during a sharp decline from March to April, but has recovered some of the lost ground in recent weeks. The key recovery momentum is a shift in U.S.-China trade rhetoric, tensions eased, and eventually evolved into a 90-day trade truce between the two superpowers. Technically, the closest resistance level of the US dollar index is in the range of 101.40–101.60. If the U.S. dollar index closes above the 101.60 level, itIt will move to the next resistance level 103.30–103.50.
Analysis of gold and crude oil market trends
1) Analysis of gold market trends
On the Asian session on Monday, gold trading around 3234.92. After the opening of the Asian trading session, the spot gold price opened more than $15 higher, and the gold price continued to soar. The current gold price is around $3,244/ounce, and it soars by more than $40 during the day. On the other hand, the US dollar and US stock futures suffered a blow. Analysts pointed out that Moody’s Ratings suddenly downgraded the US sovereignty rating last Friday. This "black swan" event has caused concerns about the US fiscal situation, and the resulting safe-haven buying stimulated gold prices to strengthen. In addition, the weakening of the US dollar is also positive for the gold price trend.
2) Analysis of crude oil market trends
On the Asian session on Monday, crude oil trading was around 61.98. Despite a slight increase last week, the crude oil market is still leaning towards short-term bearish. OPEC+'s growing physical supply risks and potential Iran agreement continue to limit upside potential. Oil prices are forecast to fall in the near term unless inventory drops sharply or demand rebounds strongly, with traders paying close attention to further developments in diplomacy and inventory.
Forex market trading reminder on May 19, 2025
①To be determined Domestic refined oil opens a new round of price adjustment window
②09:30 Monthly report on residential price prices in 70 large and medium-sized cities in China
③10:00 China's total retail sales of consumer goods in April year-on-year
④10:00 China's industrial added value above scale in April year-on-year
⑤11:00 Nvidia CEO Huang Renxun delivered a speech
⑥17:00 Eurozone's final annual CPI annual rate value
⑦17:00 Eurozone The final value of the district's April CPI monthly rate
⑧20:45 Federal Reserve Vice Chairman Jefferson delivered a speech
⑨20:45 Federal Reserve Williams delivered a speech
⑩22:00 US April Consultative Conference Leading Index Monthly Rate
22:00 Trump has spoken with Putin, Zelensky and others
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