Gold loses shine as Omicron fear eases, good to buy on dips

Gold halted its minor pullback and held below $1800 as Omicron fear eases. The US stock markets surged more than 1% as markets sentiment stabilized. The dollar is hovering near 96 levels; any breach below 95.75 confirms intraday weakness. The new Omicron poses a “very high” global risk and increases the chance of reinfection, according to WHO. The yellow metal hits a high of $1799.89 yesterday and is currently trading around $1789.12.

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Treasuries Recap 27 November 2021

Concerns about a new coronavirus variant on Friday drove the sharpest rally in short-dated U.S. Treasuries since the pandemic took hold, as investors scurried for safe-haven assets and pared some of their bets on rate hikes through next year.

Ten-year yields were also down 12 bps, the biggest drop since February this year, to around 1.53% and five year yields tumbled 14 bps to around 1.19%. Bond yields fall when prices rise.

GBP/USD Summaries 27 November 2021

Sterling initially dipped against dollar  but recovered above 1.3300 level as the British currency found itself caught up in panic over a new COVID-19 variant described as the most concerning yet. Sterling has been falling in recent weeks in October it traded above $1.38 sent lower first by disappointment the BoE did not raise rates this month and more recently by worries over slowing economic momentum and growing expectations of tighter monetary policy in the United States, which has boosted the dollar.After falling to as low as $1.3278, sterling had recovered to $1.3333 in late US session. Immediate resistance can be seen at 1.3345(5DMA), an upside break can trigger rise towards 1.3399(50%fib).On the downside, immediate support is seen at 1.3312 (23.6%fib), a break below could take the pair towards 1.3255 (Lower BB).

EUR/USD Summaries 27 November 2021

EUR/USD: The euro rose against dollar on Friday after the discovery of a new, potentially vaccine-resistant coronavirus variant saw investors dump riskier assets like dollar. The market swings come against a backdrop of already growing concern about COVID-19 outbreaks driving restrictions on movement and activity in Europe and beyond.

European countries have expanded COVID-19 booster vaccinations and tightened curbs. Slovakia announced a two-week lockdown, the Czech government will shut bars early and Germany crossed the threshold of 100,000 COVID-19-related deaths.

The euro rose 1.01% to $1.1315. Immediate resistance can be seen at 1.1304(11DMA), an upside break can trigger rise towards 1.1322 (50%fib).On the downside, immediate support is seen at 1.1261(38.2 % fib), a break below could take the pair towards 1.1190(23.6%fib).