Correlation between the Japanese yen and gold | 08 Februari 2022

08 Februari 2022, USD/JPY

Correlation between the Japanese yen and gold

USDJPY trading plan:

Gold prices climbed to a more than one-week high, supported by inflation worries and lingering geopolitical risks, as markets awaited key U.S. inflation data for cues on the Federal Reserve's interest rate hike trajectory. U.S. inflation figures for January are due on Thursday, with markets now pricing in a one-in-three chance the Fed might hike by a full 50 basis points in March. Although gold is considered a hedge against higher inflation and a safe store of value in times of uncertainty, higher rates raise the opportunity cost of holding non-yielding bullion. This is a positive signal for the Japanese yen, as assets correlate with each other.

Investment idea: sell 115.75 and take profit 115.25.

David Johnson
Analyst of «FreshForex» company
Setuju dengan review?
opini pedagang:
Close
Masuk
Browser Anda tidak mendukung kue. Jika cookie dinonaktifkan di browser Internet Anda, Anda mungkin memiliki masalah dengan render daerah Pribadi. Cara mengaktifkan dukungan cookie.