Metals, indices, and yields all drop on Monday

The new week started in a risk-off regime as traders sold most of the risky asset classes, while bonds, VIX, and the USD were bought. 

Over the weekend, Germany decided to extend its lockdown again as the 2-3 weeks of lockdowns turned out to be a whole year of lockdowns.

Confidence in the Astrazeneca vaccine wanes, despite the recent second approval by the EMA. Moreover, the company released data from its US trial earlier, showing that its vaccine was 79% effective in preventing the disease, and 100% successful in preventing hospitalization and death across a sample of 30,000 volunteers.

But the overall situation looks like EU countries screwed up big with the vaccine management, and people will have to continue suffering through never-ending lockdowns. 

Precious metals got pummeled for some reason today, and silver was down nearly 3% during the EU session, while gold was trading 1% weaker at around 1,730 USD. 

The tech-heavy Nasdaq 100 index was the only major index trading higher, boosted by falling yields, but other indices are slowly erasing their declines at the time of writing. 

The EURUSD pair declined below 1.19, but short-term momentum is missing, while the USDJPY pair fell below 109, undermined by dropping yields. 

Source: https://www.axiory.com/market-news/metals-indices-and-yields-all-drop-on-monday