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AUD/USD gathers bullish momentum in the American session on Friday.Fed Chair Powell acknowledged increasing downside risks to the labor market.The US Dollar comes under strong selling pressure heading into the weekend.Following the bearish action seen throughout this week, AUD/USD reversed its direction and climbed toward 0.6500 in the American session on Friday, erasing a portion of its weekly losses in the process.Fed Chair Powell triggers USD selloffWhile speaking at the annual Jackson Hole Symposium on Friday, Federal Reserve (Fed) Chair Jerome Powell announced that they will adopt a new policy framework of flexible inflation targeting and eliminate the ‘makeup’ strategy…

According to figures published this week by the International Copper Study Group, mine production rose by 2.7% in the first half of this year compared with the same period last year. Production rose significantly in the Democratic Republic of Congo (9.5%) and Mongolia (31%) in particular, due to expanded mining capacity in these countries. In Peru (3.6%) and Chile (2.6%), production rose more slowly but still remained robust. In Indonesia, however, production had to be significantly reduced due to planned maintenance at a large mine, Commerzbank’s FX analyst and commodity Volkmar Baur notes. Shortage of raw Copper is likely to…

Switzerland exported larger quantities of Gold to the US again in July, according to foreign trade data from the Federal Customs Administration, Commerzbank’s commodity analyst Carsten Fritsch notes. Subdued shipments to Asia”According to the data, Gold shipments to the US amounted to 51 tons last month. The last time they were higher was in March, when concerns about US tariffs on Gold imports led to massive deliveries to COMEX warehouses. Swiss Gold exports to the US in July matched the increase in COMEX Gold inventories. This could be related to the general tariff uncertainty in July, which was marked by…

US Federal Reserve (Fed) Chair Jerome Powell said that they will adopt a new policy framework of flexible inflation targeting and eliminate ‘makeup’ strategy for inflation, while delivering a speech on “Economic Outlook and Framework Review” at the annual Jackson Hole Economic Symposium.Powell speech at Jackson Hole Symposium, key takeaways”Framework calls for balanced approach when central bank’s goals in tension.””Prior framework’s emphasis on overly specific set of economic conditions may have led to some confusion.””Framework removes language indicating zero-lower-bound is a defining feature of economy.””New framework designed to work in a range of economic conditions.””Idea of intentionally moderate inflation overshoot…

Saudi Arabia exported less Crude Oil in June despite a significant increase in Oil production, according to data from the Joint Organizations Data Initiative (JODI), Commerzbank’s commodity analyst Carsten Fritsch notes. Additional Oil produced remaines in the domestic market”Crude Oil exports fell by 50,000 barrels per day compared to the previous month to 6.14 million barrels per day. Oil production, on the other hand, rose by 570,000 to 9.75 million barrels per day.” “This confirms previous statements from Saudi Arabia that the significant increase in Oil production has not led to a higher Oil supply on the world market. Instead,…

Oil prices received support in the middle of the week from an unexpectedly sharp decline in US Crude Oil inventories last week of 6 million barrels, as reported by the US Department of Energy, Commerzbank’s commodity analyst Carsten Fritsch notes. Crude Oil processing almost reached the annual high of early June”The API had reported less than half of this decline in inventories the day before. Participants in a Bloomberg survey had expected a drop of less than 1 million barrels. The sharp decline in inventories was driven by a significant drop in net imports due to increased exports and lower…

Every summer, the mountains of Wyoming become the center of the economic world. The Jackson Hole Symposium, organized by the Federal Reserve Bank of Kansas City, is more than just an academic gathering: it’s the stage on which the major orientations of global monetary policy are sometimes shaped.This year, the spotlight is even more intense. On Friday, Federal Reserve (Fed) Chair Jerome Powell is scheduled to deliver what will probably be his last speech in Jackson Hole as President of the US central bank.A key event for the marketsFor several decades now, Jackson Hole has been the event where central…

The EUR/USD outlook remains subdued under 1.1600 on Friday. Fading bets on Fed’s aggressive easing continue to support dollar. Market participants await Powell’s speech at the Jackson Hole Symposium. The EUR/USD outlook remains subdued as the price is headed downwards today during the European session, trading under the key level of 1.1600. The pair is on course to post a weekly loss of about 1% as traders adopt a wait-and-see approach before remarks by Federal Reserve Chair Jerome Powell at the Jackson Hole Economic Symposium. –Are you interested to learn more about forex options trading? Check our detailed guide- Powell…

The dollar index, which gauges the greenback’s strength against a basket of six currencies, gained 0.11 per cent to 98.72. The rupee fell 27 paise to close at 87.52 (provisional) against the greenback on Friday as domestic equity markets ended weaker and the US dollar strengthened ahead of the speech of Fed Chairman Jerome Powell.However, inflow of foreign funds and a drop in Brent crude prices supported the domestic unit at lower level.At the interbank foreign exchange, the local unit opened at 87.37 against the greenback and traded in the range of 87.32-87.55 before settling at 87.52 (provisional), down 27…

The Indian rupee weakened further on Friday against a stronger dollar ahead of a speech by Federal Reserve Chair Jerome Powell, capping a volatile week for the Asian currency that has been pressured by U.S. tariff-related uncertainties. The currency closed 0.3% lower on Friday at 87.5300, against its close of 87.27 in the previous session. It was down 0.02% for the week. The local unit, which opened at 87.4575 on Monday, saw sharp swings through the week due to domestic and geopolitical developments.Talks between the U.S. President Donald Trump and the Russian and Ukrainian presidents, coupled with the Indian government’s…