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Silver (XAG/USD) trades on the back foot on Friday as rising US Treasury yields outweigh support from a weaker US Dollar (USD). At the time of writing, XAG/USD trades around $57.50, down 2% on the day and on track to close July in negative territory.The US Dollar stays under pressure following suspected intervention by Japanese authorities to support the Japanese Yen (JPY). The US Dollar Index (DXY), which tracks the Greenback’s value against a basket of six major currencies, hovers around 100, near six-week lows.Meanwhile, US Treasury yields move higher as elevated energy prices keep inflation risks tilted to the…

West Texas Intermediate (WTI) US Oil trades higher on Friday, rising 0.76% to around $83.30 after staging a sharp rebound from an intraday low below $80.00. The Crude Oil has erased some of its weekly losses and is on track to finish the week close to its opening levels after the bearish gap seen at the start of the week.Market sentiment has improved as investors reassess the impact of shipping disruptions through the Strait of Hormuz. According to CommBank, Oil tanker traffic through the strategic waterway has recovered to around 30%-35% of its pre-conflict level. A broader normalization of flows…

Canada’s economy cooled a tad in May. Indeed, the Gross Domestic Product (GDP) grew by 0.3%, adding to the previous month’s 0.6% expansion (revised from 0.5%), according to data released by Statistics Canada.From the press release: “Real gross domestic product (GDP) grew 0.3% in May, rising for a second consecutive month, as both goods-producing and services-producing industries expanded in the month. Overall, 13 of 20 industrial sectors contributed to the growth. Goods-producing industries expanded 0.6%, as most sectors comprising the aggregate rose in May. Services-producing industries rose 0.2%, driven in large part by increases in real estate and rental and…

The Indian rupee ended stronger on Friday, with persistent central bank interventions boosting the currency to its strongest weekly gain since March.The currency rose 0.3% on the day and about 1% week-on-week to end at 95.38 per dollar. On the month, though, it slipped about 0.7% as oil prices ‌climbed due ⁠to renewed ⁠hostilities in the Middle East.Brent was on track to rise 21% for the month and WTI 18%, snapping two straight months of declines for both oil benchmarks.Worries over ​the impact of oil prices have exerted pressure on the rupee. The currency appeared vulnerable to breaching record lows…

UOB strategists observe that the Federal Open Market Committee (FOMC) kept the Fed Funds Target Rate at 3.50%–3.75% for a fifth meeting, with a 9–3 split as three presidents sought a 25 bps hike. Their base case is an extended 2026 pause before easing resumes in 2027, but they warn that persistent inflation and hawkish members keep renewed tightening risks elevated.Fed holds but dissent and risks rise”FOMC holds rates steady, but dissent grows: The FOMC left the Fed Funds Target Rate unchanged at 3.50%-3.75% for a fifth consecutive meeting, but the decision was split 9-3, with three regional Fed presidents…

Surging crude oil prices driven by West Asia geopolitical tensions will act as a key ceiling for Indian stock market rallies, though strong valuations and support levels near 23,800 will cushion major downsides, Shrikant Chouhan, Head of Equity Research at Kotak Securities, said in an exclusive interview with ANI.Analyzing the macroeconomic risks posed by elevated oil prices, Chouhan outlined scenario-based projections for inflation, GDP, and currency volatility.”In the base-case scenario, if crude prices sustain above the mark of $85… it will start impacting the balance of payments, the current account deficit, and eventually inflation,” Chouhan stated, noting that retail inflation…

USD/IDR gains ground after two days of losses, trading around 18,120 during the Asian hours on Friday. The pair appreciates as the Indonesian Rupiah (IDR) struggles following the release of disappointing Purchasing Managers’ Index (PMI) data from China, Indonesia’s largest trading partner.China’s NBS Manufacturing PMI fell into contraction territory at 49.2 in July, down from 50.3 prior and below market estimates of 50.0. Similarly, the Non-Manufacturing PMI dipped to 49.0 against expectations of a 50.0 reading.The US Dollar (USD) gains support against the Indonesian Rupiah as traders adopt caution on prevailing hawkish sentiment surrounding the Federal Reserve (Fed) policy outlook.FOMC…

The rupee maintained its upward trajectory, rising 20 paise to 95.30 against the US dollar in early trade on Friday, tracking foreign capital inflows and a decline in global crude oil prices.However, a stronger greenback capped sharper gains in the local unit, forex traders said.At the interbank foreign exchange, the rupee opened at 95.40 before rising further to 95.30, up 20 paise from its previous close.Rising for the fifth straight session, the rupee surged 26 paise to close at 95.50 against the US dollar on Thursday.”The rupee is likely to continue to move back & forth in today’s session, gain…

In Money Beyond Borders, economist Barry Eichengreen traces the history of international currencies—from Ancient Greece’s silver coins to the British pound and the modern US dollar—to explain why reserve currencies enjoy long lifespans. | Photo Credit: NGUYEN HUY KHAM On some measures, China has already overtaken the United States as the world’s largest economy. But the US dollar retains a dominant role in the international financial system and trade.How long will this continue? Looking to history, Barry Eichengreen’s new book Money Beyond Borders seeks to answer this question.Eichengreen is a respected professor of economics and political science at the University…

Atsushi Mimura, Japan’s Vice Finance Minister for International Affairs and top foreign exchange official, said on Friday that he is in close contact with relevant authorities on foreign exchange, adding that the officials are always prepared to take suitable measures. However, Mimura declined to comment on currency intervention.Key quotes Declines to comment on currency intervention. In close contact with relevant authorities on forex. No comment on future plans. Always prepared to take suitable measures. In talks beyond US. Hearing various concerns over recent yen weakness. In close contact with U.S. authorities. Market reactionAt the time of writing, the USD/JPY pair is trading around 160.35, up 0.51% on the day.  Japanese…