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Trump stirs up the world, gold and silver face tens of billions of selling pressure, the dawn of Russia and Ukraine and the US dollar's charge?
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Hello everyone, today XM Forex will bring you "[XM Group]: Trump stirs up the world, gold and silver face tens of billions of selling pressure, the dawn of Russia and Ukraine, and the US dollar's charge horn?". Hope this helps you! The original content is as follows:
In the first full trading week of 2026, the cross-asset market showed a synchronized rise, Wall Street's risk sentiment became active again, and the market was prosperous.
Investors’ appetite for risk has increased significantly. This week, the S&P 500 index rose 1.6%, and the Russell 2000 index rose 4.6%. It is worth mentioning that Vanguard S&P 500 ETF (VOO) attracted up to US$10 billion in capital inflows in just a few days. For passive funds, this speed of capital absorption is astonishing. These positive performances are undoubtedly a good start to the new year.
In this context, cyclical industries, www.xmtraders.commodities and speculative assets have strengthened. Strategists at Nomura Securities International and other www.xmtraders.companies also hold the same view. Their analysis pointed out that factors such as the resilience of the job market, continued rise in freight rates and strong demand for automobiles have jointly promoted this change in the market. Investors are gradually moving away from the safe bets and Big Tech sectors favored last year and toward riskier areas of the market that typically lead the way in the early stages of economic recovery.
The precious metals market performed particularly well this week. Spot gold closed with an increase of more than 4%, with a cumulative increase of more than 177 US dollars; spot silver closed with a close of nearly 10%, with a cumulative increase of more than 7 US dollars. The precious metals www.xmtraders.complex has shown strong upward momentum under the dual effects of geopolitical instability and shifts in expectations for the Federal Reserve's monetary policy.
However, after the release of the U.S. ISM manufacturing report this week, profit-taking occurred in the precious metals market. the newspaperThe report showed strong economic conditions, which to some extent weakened market expectations for a recent interest rate cut by the Federal Reserve. But this bearish sentiment did not last long. The non-farm payrolls report released on Friday showed that job creation was significantly weaker than market expectations. This data immediately reignited market speculation that the Federal Reserve will continue to maintain an easy monetary cycle this year, although the specific timing of interest rate cuts may be delayed.
Looking forward, the United States will release the December Consumer Price Index (CPI) next Tuesday. This data is very likely to have a major impact on market sentiment and determine the trend of gold and silver prices in the www.xmtraders.coming week.
Foreign exchange market: The U.S. dollar index rose overall this week, returning to above the 99 integer mark on Friday, a new high in the past month, closing at 99.18, an increase of 0.76%. Rising U.S. bond yields have provided spread support for the U.S. dollar, while rising risk aversion has also boosted demand for the U.S. dollar. Data on Friday showed that the U.S. unemployment rate fell back to 4.4%, and traders believed that the door to a January interest rate cut was closed. Non-US currencies were overall weak this week, mainly affected by the stabilization of the US dollar and the market's wait-and-see sentiment. The euro and pound fell against the US dollar for four days in a row, while the US dollar rose against the yen for four days in a row. The Australian dollar against the US dollar benefited from the support of www.xmtraders.commodity prices and interest rate differentials at the beginning of the week, but then also experienced three consecutive losses.
It opened higher on Monday amid risk aversion driven by the situation in Venezuela. It continued its strength on Tuesday and briefly touched $4,500 per ounce. It then fell back as traders took profits. However, weaker-than-expected "small non-farm payrolls" boosted interest rate cut expectations. The decline was limited and the market entered a volatile period. Spot silver also rose and fell this week, with greater fluctuations than gold. On Friday, gold and silver closed at $4509.93 and $79.94 per ounce respectively, up 4.09% and 9.82% respectively. CME Group will increase the intertemporal spreads and related spread contract performance margins of gold, silver, platinum and palladium futures after the market close on January 9. This is the third adjustment in the past month. In response to the recent overheating phenomenon in the silver futures market, the Shanghai Futures Exchange has also issued a number of regulatory measures, including adjusting transaction limits, increasing margin ratios and price limits, optimizing handling fees, and strengthening supervision of irregularities, aiming to curb speculation and maintain the smooth operation of the market.
Crude oil market: International oil prices fluctuated violently this week. At the beginning of the week, international oil prices rose significantly as the United States' "blitz" operation against Venezuela increased uncertainty about future supply. However, Trump later said that the United States had reached an oil deal with Venezuela, exacerbating concerns about oversupply, and oil prices fell to a new low in more than two weeks. In the last two trading days of this week, oil prices rebounded significantly and were once again approaching multi-week highs.
Weekly News Review 1. Venezuelan President Maduro appeared in court in the United States, and the United States was accused of controlling its oil Venezuela President Maduro appeared in court in the United States for the first time and pleaded not guilty to four charges including narco-terrorism. His wife is also rightPleaded not guilty to related charges. Previously, the United States carried out military operations against Venezuela and controlled Maduro and his wife, triggering international condemnation. After Maduro was taken away, Switzerland announced a freeze on his assets. In the early days of his administration, Venezuela shipped nearly $5.2 billion worth of gold to Switzerland. In addition, the ownership of the 31 tons of gold entrusted to the Bank of England has again attracted attention. Trump said that Venezuela’s interim authority would transfer tens of millions of barrels of oil to the United States, and the U.S. Energy Secretary said that Venezuela’s oil sales would be controlled “indefinitely.” The Supreme Court of Venezuela has ordered the Vice President to act as President. The U.S. Senate agreed to advance legislation opposing further military action in Venezuela, but Trump said he would veto it if passed. 2. Trump threatens many countries, and Greenland becomes the focus Trump issued tough remarks after the raid on Venezuela, threatening actions against Colombia, Cuba, Iran and other countries, and later canceled the military threat to Colombia. He once again claimed that the United States "needs Greenland." The White House did not rule out the use of military force and considered paying cash to Greenlanders to encourage them to secede from Denmark. The move triggered a joint warning from many European countries, with the Danish Prime Minister saying that any attack would mean the end of NATO. Market traders are betting on more international changes, with prediction markets showing an increased likelihood that the United States will take control of parts of Greenland. 3. Non-farm employment data weakened expectations of interest rate cuts, and the chairman of the Federal Reserve will change hands U.S. non-farm employment data in December was mixed, with new jobs being lower than expected and the unemployment rate falling. The market generally believes that this "closes the door for the Federal Reserve to cut interest rates in January", and traders price the possibility of a rate cut in January to zero. Previously, U.S. Treasury Secretary Bessent and Fed Governor Millan both called for interest rate cuts to stimulate the economy, but market expectations differed from the Fed's internal forecasts. On the other hand, the Federal Reserve will have a new chairman. Bessant said Trump may announce his decision before or after the Davos Forum, and the list of candidates has been reduced. 4. The Bloomberg www.xmtraders.commodity Index adjusts positions, and gold and silver face huge selling pressure The annual rebalancing of the Bloomberg www.xmtraders.commodity Index is launched, following the principle of "sell the winners, buy the losers". Due to the strong performance of precious metals last year, the weights of gold and silver in the index will be reduced and are expected to face selling pressure of approximately US$7 billion and US$7.1 billion respectively, totaling more than US$14 billion. The agency believes this may pose a short-term risk to gold and silver prices, but recommends buying any price weakness triggered by capital flows. On the other hand, Brent, WTI, cocoa and sugar will see significant buying flows. 5. Zelensky said that the conflict is expected to end in the first half of the year Ukrainian President Zelensky said that the conflict between Russia and Ukraine is expected to end in the first half of 2026, and emphasized that the EU should play a central role in negotiations. Previously, the "Coalition of the Willing" meeting reached a consensus on providing post-war security guarantees for Ukraine. Zelensky hopes to hold a new round of meetings with Trump to assess the U.S.'s willingness to accept a long-term security proposal from Ukraine. At present, Kyiv hopes to obtain security guarantees from its allies while rejecting Russia's core territorial claims. However, there is no sign that Russia will accept an agreement that does not meet its demands. 6. The riots in Iran continue and economic difficulties intensify The protests in Iran have lasted for two weeks. They have evolved from initial dissatisfaction with currency devaluation into political demands and have spread to nearly 100 cities across the country, resulting in at least 1,200 people being arrested and more than 30 people dead. Iran's economy has deteriorated due to international sanctions and a previous war with Israel, with the currency depreciating sharply and inflation high. The Iranian president called for dialogue to respond to demands and to avoid violence. The Trump administration in the United States has warned Iran not to violently crack down, otherwise it will "rescue" protesters. 7. Trump will make efforts in multiple fields before the mid-term elections Trump plans to deliver the State of the Union address on February 24, which is a critical period before the mid-term elections. This week, he has stepped up efforts in multiple policy areas: he plans to ban institutional investors from buying single-family homes to deal with the housing problem; he launches a US$200 billion mortgage bond purchase plan to lower mortgage interest rates; he proposes to significantly increase defense spending to US$1.5 trillion, claiming that the funds will www.xmtraders.come from tariffs; he prohibits some defense contractors from paying dividends or buying back stocks until they speed up production; he announced that the United States will withdraw from 66 international organizations. 8. As copper prices reach new highs, Glencore and Rio Tinto restart merger negotiations Global mining giants Glencore and Rio Tinto have restarted potential mega-merger negotiations, aiming to form the world's largest mining www.xmtraders.company with an enterprise value that may exceed US$260 billion. The background of the negotiations is the intensifying www.xmtraders.competition for global copper resources, with copper prices hitting a record high this week. The two parties are currently in preliminary discussions on the "possibility of merging part or all of the business," and the transaction plan may include an all-stock merger. According to British takeover rules, Rio Tinto needs to make a final decision before February 5. The above content is all about "[XM Group]: Trump is stirring up the world, gold and silver are facing tens of billions of selling pressure, the dawn of Russia and Ukraine is ringing with the US dollar?" It is carefully www.xmtraders.compiled and edited by the editor of XM Foreign Exchange. I hope it will be helpful to your trading! Thanks for the support! Due to the author's limited ability and time constraints, some contents in the article still need to be discussed and studied in depth. Therefore, in the future, the author will conduct extended research and discussion on the following issues:
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