Gold’s Record-Breaking Rally Takes a Pause. What Will Happen Next?
dipped this Wednesday, pausing the metal’s rally amidst shifting economic factors and geopolitical tensions. What does this mean for traders? Explore the details in our breakdown.
- Events. Gold prices dipped to around $3,730 per ounce a week after the Federal Reserve (Fed) for the first time this year. However, a surprisingly strong U.S. report made it harder to predict future rate cuts. The new data supported the appeal of safe-haven assets since uncertainty makes gold shine brightest.
- Background. The Fed remains divided over handling and the labour market slowdown. Some officials suggest further rate cuts; others prefer a more cautious approach. Meanwhile, geopolitical tensions, especially around Russia and Ukraine, continue to breed uncertainty in the market, which usually supports gold.
- Possible outcome. The Fed’s mixed signals and ongoing geopolitical risks could mean continued volatility for gold. Geopolitical uncertainty, however, could support the metal in the long term.
Stay alert to economic data and Fed announcements. If the central bank continues cutting rates, gold could see another boost, but a more cautious approach may limit price growth.
Euro Struggles as Eurozone Weakens. What Does It Mean for Your Trades?
weakened after German business sentiment worsened in September, adding to concerns about the eurozone’s economic future. What is driving this trend? Find out in our analysts’ breakdown below.
- Events. After two sessions of gains, the euro dropped 0.69% to $1.1734. This dip was caused by the for Germany falling 1.2 points to 87.7 in September 2025, below market expectations of 89.3. The deterioration in Germany’s business outlook raised fears about the broader eurozone economy.
- Background. Meanwhile, the strengthened as U.S. Federal Reserve (Fed) Chair Jerome Powell suggested policymakers prefer a cautious wait-and-see approach to further rate cuts. Powell’s comments made markets temper their expectations of aggressive policy easing.
- Possible outcome. Increasing geopolitical risks in Europe or weakening economic data can put more pressure on the euro. If the Fed decides not to proceed with additional rate cuts, this might further strengthen the dollar.
Keep an eye on economic reports, particularly today’s and report this Friday. They could heavily influence the euro and the dollar. Stay flexible with your strategies, as the situation in Europe and U.S. policy decisions could shift quickly.
Canadian Dollar Pullback: What’s Next for the Pair?
dipped below 1.3900 after a three-day rally, leaving traders wondering if it’s time for a deeper correction. Find out what is driving this trend in our analysts’ breakdown below.
- Events. USD/CAD fell, trading near 1.3890 during the Asian session on Thursday. This comes ahead of key U.S. economic data, including GDP figures and the PCE price index.
- Background. After the U.S. Federal Reserve (Fed) cut interest rates for the first time this year, Chair Jerome Powell suggested a cautious approach to further cuts. This initially strengthened the U.S. dollar, but the currency then corrected lower. The Bank of Canada (BoC) Governor, Tiff Macklem, pointed to a weakening dollar and said Canada should pursue ’a more independent course’ from the U.S.
- Possible outcome. Traders are watching the upcoming economic reports. If the U.S. GDP data surprises positively, the USD may regain strength. However, weaker-than-expected data could keep USD/CAD under pressure.
Pay close attention to the U.S. release and the PCE price index later this week. These reports could provide important clues about the Fed’s next move. Stay ready for potential volatility around these events, as they can influence the USD/CAD direction.