XAUUSD looks to regain momentum
The precious metal market holds firm as weak employment data pushes the odds of the Fed cutting rates in their September meeting. Traders continue to watch for further clues from Jerome Powell’s testimonies. However, with Chinese reserves remaining flat for a second consecutive month as the country stopped purchasing gold, the lower spiral could return to haunt bulls. Gold could shine again and climb above 2400 with 2360 as the closest support.
USDCAD consolidates ahead of another rate cut
The Canadian Dollar progresses further against the greenback after dipping its toes in the 1.3600 area. With the Bank of Canada firmly set on progressive cuts, as the Fed ponders, the Loonie advances further. A resurgence in the job market will likely keep the central bank on its pathway with another 0.25% cut. The central bank must tread carefully, as any signs of economic weakness could cause a dramatic currency selloff. The pair tests the support at 1.3600 with 1.3740 as a fresh resistance.
NAS 100 another day, another record close
The Nasdaq is the gift that keeps giving as the tech-heavy index enjoys another bull run. The strength in chip stocks is pushing technology prices and the indices higher. With CPI data not having much impact in the near term, all eyes will be on the Fed to see if any hints about a rate cut could dent the recent rally. The index is hovering under 21000, and 20200 is the immediate support.
