Trump's focus on Iran causes risk appetite to decline, while gold prices skyrocket

From Investing.com: 2025-02-05 04:34:00

President Trump chose to remain silent on the issue of tariffs and instead focused on geopolitics, specifically Iran and the Gaza Strip. This caused risk appetite to decline and gold prices to skyrocket to a new all-time high of $2,865. Meanwhile, oil prices failed to rally despite some positive news.

Today’s data calendar is packed with important releases, including final January PMI surveys and the US ADP report for January. Positive US figures could complicate the Fed’s outlook, with markets already pricing in two 25bps rate cuts in 2025.

The yen continues to strengthen as solid Japanese data fuels expectations for another BoJ rate hike. However, strong US data could threaten these gains in the future.



Read more at Investing.com: Market Sentiment Remains Fragile as Trump Takes Aim at Iran