that the best trade opportunities for the week were likely to be long of Gold in USD terms and the EUR/USD currency pair, and short of the USD/JPY currency pair also. Gold in USD terms gained by 2.91%.
The USD/JPY currency pair ended the week lower by 3.22%, and the EUR/USD currency pair ended the week higher by 1.81%. These trades gave an average win of 2.65%, so I made an excellent call overall.US inflation data released last Thursday, which showing a decline in the rate of inflation , which fell month-on-month by 0.1% while the annualized rate fell from 7.1% to 6.5%, almost exactly in line with expectations, giving hope that the Fed may be able to bring down inflation without causing a
recession – even though the US is technically already in a recession by the traditional data-driven definition. Declining US inflation is causing an increased expectation of a slower pace of Fed rate hikes pushing down the US Dollar and boosting some risky assets, Global stock markets ended the week mostly higher, with the DAX seeing its highest level in almost one year, and the S&P 500 showing signs that a bull cross will probably arrive within the next few weeks.
Rates of coronavirus infection worldwide again dropped last week for the fourth consecutive week according to official data. However, there are credible reports suggesting millions of new infections after China’s “zero covid” measures were recently scrapped. The most significant growths in new confirmed coronavirus cases overall right now are happening in China, Japan, and Taiwan. There is a new omicron sub-variant becoming dominant in the USA which is causing some concern.