High financial market volatility returned on Thursday and continued into Friday’s trading session (October 17, 2025). The United States once again triggered this volatility, this time due to credit default issues.<\/p>\n
Two regional banks in the US, Zions and Western Alliance, reported facing significant credit default problems, raising concerns among market participants about the potential spread of these issues due to lenient lending practices. Both banks saw their stocks plummet by over 10% during Thursday’s trading.<\/p>\n
Fears regarding the banking health in the US have been growing since last month when the automotive parts company First Brands declared bankruptcy. This week, the founder of First Brands, Patrick James, stepped down from his position as CEO.<\/p>\n
First Brands is now reportedly under investigation for criminal activities by the US Department of Justice. This has caused the shares of major investment bank Jeffries, which has exposure to First Brands, to drop by 10% yesterday.<\/p>\n
This sentiment will continue to influence market movements in today’s trading.<\/p>\n
GOLD<\/strong> Gold closed Thursday’s trading at $4,325.69 per troy ounce, gaining nearly $118 or 1,180 pips. Today, Gold surged again, reaching $4,379.13 per troy ounce, marking a new highest record and approaching the next psychological level of $4,400 per troy ounce.<\/p>\n The credit default concerns have become new \u201cfuel\u201d for Gold’s upward momentum. Previously, there were concerns regarding the US-China trade war, followed by expectations that the Fed would aggressively cut interest rates.<\/p>\n These various sentiments will continue to support Gold’s performance during the European trading session.<\/p>\n OIL<\/strong> The market sentiment is further pressured by concerns over the credit default issues in the United States, which could affect the overall economy. This sentiment is expected to influence market movement in the European trading session.<\/p>\n EURUSD<\/strong> The pressure on the US dollar following the credit default concerns led to this rise. Today, EURUSD is again up to 1.17174, reaching the highest level in the last two weeks. The sentiment from the credit default issues in the United States is likely to continue impacting EURUSD’s movements today.<\/p>\n GBPUSD<\/strong> This positive sentiment has pushed GBPUSD today to 1.34600 and will continue to affect its movement during the European session.<\/p>\n USDJPY<\/strong> This sentiment will likely continue to overshadow USDJPY during the European session.<\/p>\n NASDAQ<\/strong> This sentiment is expected to continue influencing Nasdaq movements during the European trading session.<\/p>\n High financial market volatility returned on Thursday and continued into Friday’s trading session (October 17, 2025). The United States once again triggered this volatility, this time due to credit default issues. Two regional banks in the US, Zions and Western Alliance, reported facing significant credit default problems, raising concerns among market participants about the potential […]<\/p>\n","protected":false},"author":4,"featured_media":21040,"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-93315","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
Gold prices (XAUUSD) skyrocketed past the $4,300 per troy ounce mark during Thursday’s trading as the credit default issues plagued US banking.<\/p>\n
Oil prices (CLS10) fell by $1.33 to $57.41 per barrel during Thursday’s trading, marking the lowest level since May 6. Rising tensions between the US and China, which risks a significant trade war, continue to exert pressure on Oil.<\/p>\n
EURUSD has risen for three consecutive days, closing Thursday’s trading at 1.16849. Compared to Wednesday’s close, EURUSD gained 403 points (40.3 pips).<\/p>\n
GBPUSD climbed by 319 points (31.9 pips) to 1.34292 during Thursday’s trading. GBPUSD also benefited from positive sentiments due to the pressure on the US dollar stemming from credit default concerns.<\/p>\n
USDJPY dropped by 622 points (62.2 pips) to 150.359 at the start of Thursday’s trading and further declined today to 149.815. This trend indicates that the dollar is under significant pressure due to concerns about the widespread credit default issues in the United States, particularly due to lenient lending practices.<\/p>\n
The Nasdaq index fell by 148 points to 24,793 during Thursday’s trading, following very volatile trading conditions. Today, the Nasdaq fell further to 24,615, indicating that the credit default issues are exerting considerable pressure on the stock index.<\/p>\n