The financial markets are experiencing significant volatility as the European trading session commenced on Friday (August 8, 2025). The anticipation of a potential interest rate cut by the Federal Reserve in September continues to impact market movements.<\/p>\n
As highlighted in the previous Macro Overview, the likelihood of the Fed reducing interest rates in September stands at 91%, according to the CME Group’s FedWatch tool.<\/p>\n
GOLD<\/strong> The prospect of the Fed cutting interest rates in September is providing a positive sentiment for Gold. Additionally, the recent decision by U.S. President Donald Trump to impose import tariffs on 1-kilogram and 100-ounce gold bars has sparked new speculation in the market, further boosting the favorable outlook for gold prices.<\/p>\n These two factors are likely to continue influencing Gold’s movements in tonight’s trading.<\/p>\n OIL<\/strong> This movement indicates that the rise in Oil could be a result of short covering following a six-day decline. Oil remains under the influence of negative sentiment concerning a potential meeting between President Trump and President Putin, which could reduce the risk of sanctions on Russia, particularly in the energy sector.<\/p>\n EURUSD<\/strong> The pressure on the U.S. dollar is expected to affect EURUSD’s movements in tonight’s trading.<\/p>\n GBPUSD<\/strong> Four out of nine members of the Monetary Policy Committee (MPC) opted to maintain the interest rate during yesterday’s monetary policy announcement, suggesting that the BoE may not reduce rates in the immediate future.<\/p>\n These sentiments are expected to continue influencing GBPUSD’s movements tonight.<\/p>\n USDJPY<\/strong> The U.S. labor market appears to be weakening, while the expansion of the services sector, which is a key driver of the U.S. economy, is slowing down. This situation has raised the probability of a Fed interest rate cut next month.<\/p>\n This factor is likely to guide USDJPY’s movements in tonight’s trading.<\/p>\n Nasdaq<\/strong> This sentiment is expected to continue shaping Nasdaq’s movement in tonight’s trading.<\/p>\n The financial markets are experiencing significant volatility as the European trading session commenced on Friday (August 8, 2025). The anticipation of a potential interest rate cut by the Federal Reserve in September continues to impact market movements. As highlighted in the previous Macro Overview, the likelihood of the Fed reducing interest rates in September stands […]<\/p>\n","protected":false},"author":4,"featured_media":21041,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5170,142],"tags":[5175,5174,5176,5178,5177,5168],"class_list":["post-81233","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-summary","category-news","tag-cls10","tag-eurusd","tag-gbpusd","tag-nq","tag-usdjpy","tag-xauusd"],"yoast_head":"\n
The price of Gold (XAUUSD) has reversed and begun to recover<\/em> at the start of the European trading session after dipping to US$3,381.08 per troy ounce earlier.<\/p>\n
The price of Oil (CLS10) increased as European trading began, reaching a daily high of US$64.25 per barrel after previously dropping to US$63.18 per barrel, marking the lowest level in two months.<\/p>\n
EURUSD decreased by 317 points (31.7 pips) in the early part of the European trading session, reaching 1.16300. This drop is likely the result of profit-taking<\/em>, as the U.S. dollar continues to be under pressure from the expectation of an interest rate cut by the Fed.<\/p>\n
GBPUSD has been moving sideways in the range of 1.34240 – 1.34531 as the European session began, following a surge on Thursday. GBPUSD retains a positive sentiment after members of the Bank of England (BoE) expressed divided opinions on whether to lower interest rates.<\/p>\n
USDJPY rose by 618 points (61.8 pips) at the onset of the European trading session, reaching a daily high of 147.689. Despite this sharp rise, USDJPY is still overshadowed by negative sentiments due to increasing signs of economic slowdown.<\/p>\n
Nasdaq has risen at the start of the European trading session, reaching a daily peak of 23,582. Nasdaq benefits from the strong possibility of the Fed cutting interest rates in September.<\/p>\n