Daily Market Analysis By FXOpen

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Natural Gas Prices on the Rise
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As shown on the XNG/USD chart today, natural gas prices are trading around $3.960 per MMBtu — the highest level in over a month. This week’s series of bullish candles confirms strong demand.

Natural gas is becoming more expensive due to concerns over the military conflict between Iran and Israel. According to media reports:

→ Israel has attacked Iran’s South Pars gas field, and Donald Trump has called for the evacuation of Tehran.
→ Market participants fear that a blockade of the Strait of Hormuz could disrupt oil and natural gas supply chains.

In addition, forecasts of extreme heat in the US and increased demand for gas-powered air conditioning are also pushing prices higher.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
Investors Flock to the US Dollar Amid Escalating Geopolitical Tensions
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The currency pairs USD/JPY and USD/CAD are showing significant gains amid the intensifying conflict between Israel and Iran, which has pushed oil prices higher. Investor fears have driven demand for the US dollar – a so-called safe-haven asset. Statements by Donald Trump regarding the start of Iran’s “unconditional capitulation” and the US’s readiness to completely put an end to its nuclear programme have further fuelled concerns over an escalation of the conflict, thereby increasing demand for the US dollar.

Today, investor attention will be focused on the Federal Reserve meeting, which may offer signals regarding the future path of monetary policy. In addition, market participants will be closely watching upcoming US employment data, as it could influence expectations around bond yields and the trajectory of dollar pairs.

USD/JPY
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The USD/JPY pair has risen to the 145.20 level, reflecting a tilt towards the dollar and a weakening yen amid geopolitical risks and rising US Treasury yields. Technical analysis of USD/JPY suggests a possible breakout above the three-week resistance at 145.60. A piercing line candlestick pattern has formed on the daily chart; if the pattern works, it could lead to a retest of the key resistance level at 146.30. At the same time, a rebound from current levels and a return to the medium-term sideways channel of 142.70–144.40 cannot be ruled out.

Events that could influence the USD/JPY pair:

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
GBP/USD Hits June Low
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As the GBP/USD chart shows, the pair dropped sharply last night, falling below the 1.34170 level. This move marked the lowest point for the pound against the dollar since the beginning of June.

One of the main drivers behind this decline is the strengthening of the US dollar, which is attracting market participants amid heightened geopolitical tensions and a potential escalation of military conflict between Iran and Israel, involving US armed forces. According to the latest reports, Donald Trump has warned Tehran that US patience is wearing thin.

Today, however, the pound has seen a slight rebound, supported by the release of the UK Consumer Price Index (CPI). While the data confirmed that inflation is easing, the pace of decline is slower than expected. This may reduce the likelihood of interest rate cuts by the Bank of England – which in turn has boosted the pound’s value.

What could happen next?

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
How to Trade Crude Oil: Different Financial Instruments
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Crude oil is a dynamic and complex market, offering traders various instruments for participation. With opportunities for both short-term and long-term investment, it presents multiple avenues for exciting trading. This article delves into the different financial instruments available for crude oil trading profit, from CFDs to ETFs and everything in between.

Why Trade Crude Oil?

Crude oil, particularly its major benchmarks Brent Crude and West Texas Intermediate (WTI), is a highly traded commodity known for its significant liquidity and price volatility. These attributes make it attractive for traders looking to capitalise on price movements in either direction.

These markets operate nearly around the clock, accommodating traders across time zones. The best time to trade crude oil is usually during the overlap of the New York and London market hours, where liquidity is at its highest, facilitating more efficient trades.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
GBP and CHF Extend Decline Following Fed Meeting, Market Focus Shifts to Bank of England and Swiss National Bank Decisions
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The British pound and the Swiss franc remain under pressure against the US dollar following the Federal Reserve’s latest meeting, where the regulator left its key interest rate unchanged and signalled no rush to shift the course of monetary policy.

Despite easing inflation, the Fed has maintained a relatively hawkish stance, citing the need for convincing evidence of sustained disinflation. Combined with escalating global geopolitical tensions, this has supported the US dollar and contributed to its strength.

Against this backdrop, market participants have turned their attention to today’s decisions by the Swiss National Bank (SNB) and the Bank of England (BoE). According to the consensus forecast, the SNB may lower its rate by 25 basis points to 0.00%, which could exert downward pressure on the Swiss franc.

Meanwhile, divisions persist within the BoE: while some members of the committee may vote in favour of policy easing, the majority are likely to support holding the rate steady. The outcome of the vote will be a key driver for the short- and medium-term trajectory of the pound.

In the coming sessions, markets are expected to closely monitor signals from the regulators and the performance of the dollar. Should the external backdrop remain unchanged—and if a rate cut in Switzerland is confirmed alongside a more dovish stance from the BoE—pressure on local currencies could intensify.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
Coinbase (COIN) Shares Rise Following Stablecoin Legislation Approval
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Shares in Coinbase Global (COIN) surged by 11% yesterday, making the company the top performer in the S&P 500 index (US SPX 500 mini on FXOpen).

The sharp rise was driven by news that the US Senate has approved the GENIUS stablecoin bill, which sets out a regulatory framework for the use of stablecoins — crypto assets whose value is pegged to another currency or financial instrument, such as the US dollar.

The bill (which still requires approval from the House of Representatives) would pave the way for banks, fintech companies, and other financial market participants to use stablecoins. This development acted as a strong bullish catalyst for COIN shares.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
Silver Price Retreats from 2012 Highs
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As shown on the XAG/USD chart, the price of silver climbed above $37 per ounce yesterday — a level not seen since 2012. However, this morning, the price has dropped by approximately 2.5% from yesterday’s peak.

The bullish driver behind the rally has been fears that the US could become involved in a military conflict between Israel and Iran. Concerns in financial markets intensified after media reports stated that US officials are preparing for a potential strike on Iran.

Another factor influencing silver's price was the Federal Reserve’s decision to keep interest rates unchanged and maintain a cautious policy stance. Yesterday, Jerome Powell warned that President Trump’s tariffs could fuel inflation (a bullish signal for silver) and complicate the economic outlook.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
Analytical Projections on UK Interest Rates for 2025 and 2026
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As the UK navigates a complex economic landscape marked by trade tensions, evolving monetary policy, and persistent inflationary pressures, the trajectory of interest rates remains a focal point. In 2025 and looking ahead to 2026, forecasts on UK interest rates diverge amid uncertainty surrounding global trade dynamics, domestic growth prospects, and the Bank of England’s policy response. This article delves into expert projections, weighing economic indicators and institutional forecasts to provide an outlook on where UK interest rates may be headed over the next two years.

UK Interest Rate Environment
The UK's interest rate landscape has undergone significant transformations over the past few years. From the end of 2021 to the middle of 2023, the Bank of England (BoE) raised interest rates from the historic low of 0.1% to 5.25%—the highest in UK interest rates history since 2008. The decision to elevate interest rates from near-zero levels was primarily driven by the need to counteract rising inflation, which has emerged as a considerable threat to the UK's economic stability.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
Mastercard (MA) and Visa (V) Shares Decline Due to Stablecoin Bill
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Yesterday, we reported that the US Senate had passed the GENIUS stablecoin bill, which establishes a legal framework for regulating the stablecoin market. This development led to a sharp rise in the share price of cryptocurrency exchange Coinbase (COIN), while simultaneously putting pressure on Mastercard (MA) and Visa (V) shares.

According to media reports, market participants are concerned that stablecoins could pose serious competition to these companies, which earn revenue primarily from transaction fees. This serves as an example of how blockchain technology, with its low-cost features and high speed, could disrupt leaders in the traditional finance sector.

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Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
 
XBR/USD Chart Analysis: Oil Price Falls After Trump’s Decision
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As shown on the XBR/USD chart, the price of Brent crude oil has pulled back from yesterday’s 4.5-month high following a statement from the White House that President Donald Trump will make a decision within the next two weeks on whether the United States will take part in the Israel-Iran conflict.

According to Reuters, the US President is facing backlash from some members of his team over the prospect of launching a strike against Iran, which could drag the US into yet another prolonged war.

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TO VIEW THE FULL ANALYSIS, VISIT FXOPEN BLOG

Disclaimer: This article represents the opinion of the Companies operating under the FXOpen brand only (excluding FXOpen EU). It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.