Listen to the latest market mood for the XAGUSD.

US House Speaker Pelosi and Treasury Secretary Mnuchin are moving towards a stimulus deal and will speak again today according to her aide. Furthermore, AstraZeneca’s COVID-19 vaccine trial in the US is expected to resume as early as this week, according to sources.

The positive bias towards a stimulus deal and positive vaccine news is keeping equities supported and US 10 year bond yields have broken higher through 0.80. This has led to a softer dollar which is supporting both gold and silver prices.

Therefore, expect buyers in silver on pullbacks.

Trade Risks:

  • The main risk to this trade is a breakdown in US stimulus package talks.
  • Senate Majority leader McConnell reportedly told the senate that on Tuesday that he has warned the White House not to make a big stimulus deal before the election.

HYCM Lab is a financial analysis source that provides regular insights on how global news affects the markets including forex, commodities, stocks, indices, and cryptocurrencies*. Run by the HYCM team, it equips traders with everything needed to make informed trading decisions.