Safe Havens Weaken as Metals and Oil Climb: Monday Trading Outlook

Hello traders, and welcome to Monday! As usual, the calendar today is quite light, with little in the way of major economic data releases. We’ve already received inflation figures from China earlier today. Both consumer inflation and producer inflation came in below expectations, but aside from that, there’s nothing else significant scheduled for today.

The big focus remains on digesting the non-farm payrolls report from last Friday, which was a disappointment. The US added only 142,000 jobs compared to the expected 164,000, causing some volatility across markets. Despite the weaker-than-expected job growth, indices are reacting positively. European markets are flashing green, and futures for US indices are also trending higher, showing resilience in the face of the labor data.

Currency Market: In the forex market, the US Dollar is showing strength today and is the strongest currency in the mix. The Canadian Dollar and Australian Dollar are also following suit, pushing higher. On the flip side, safe-haven currencies like the Japanese Yen and Swiss Franc are weaker as risk appetite seems to be growing at the start of the week.

Commodities: Moving to the commodities market, we are seeing a strong performance from metals. Platinum, palladium, copper, silver, and gold are all trading higher, which is excellent news for metal traders. The rally in metals indicates a broader risk-on sentiment today. Oil is also moving up, continuing its climb after last week’s dip, adding further support to the bullish momentum in commodities.

Source: https://www.axiory.com/analytics/market-news/safe-havens-weaken-as-metals-and-oil-climb-monday