U.S. stocks have been under pressure going into next week’s key economic data releases after the carry over effects of the recent Non-Farm Payroll (NFP) report hurt valuations (in particular rate-sensitive growth stocks). The chart below shows both the 2-year (orange) and 10-year U.S. government bond yields rising of recent leaving future earnings for these...Read More

Gold Eyes New Highs Ahead of US CPI as Fed Preps for Hikes. Where to for XAU/USD?Gold made an eight-month high overnight despite the US Dollar gaining against most currencies. The US 10-year real yield dipped under 1.35% today as it continues to slide from the late December peak above 1.6%. The real yield is...Read More

The New Zealand Dollar plunged against the US Dollar on Tuesday as NZD/USD sank 2.22%. That was the worst single-day performance since March 2020. What caused such a dramatic reversal after a few days of cautious gains? It was August’s US CPI report. The headline rate of inflation clocked in at 8.3% y/y versus 8.1%...Read More