Durable goods orders in the United States, excluding defence, fell from 0.1% to -1.5% in October. This indicates a decrease in orders for long-lasting manufactured goods, excluding military-related items.<\/p>\n
Silver prices have reached a record high above $71, driven by safe-haven demand and expected Federal Reserve easing. Conversely, Bitcoin and other cryptocurrencies are under pressure, with Bitcoin trading above the $87,000 level amid a broader market decline.<\/p>\n
The US Q3 GDP showed an annualised growth rate of 4.3%, surpassing the 3.3% analyst forecast. This stronger-than-expected growth has influenced currency markets, with the US Dollar finding near-term demand and influencing pairs like EUR\/USD and GBP\/USD.<\/p>\n
Gold prices surged to $4,497 early on Monday. This was due to a weak US Dollar, although gains were capped following the positive US Q3 GDP report. Meanwhile, the Dow Jones Industrial Average rose by 100 points due to ongoing bullish sentiment.<\/p>\n
In cryptocurrency, Dogecoin extended its decline amidst the risk-off sentiment prevailing in the market. Low Open Interest and funding rates in its derivatives market are weighing on buyer activity.<\/p>\n
We are seeing clear signs of an economic slowdown heading into the new year. The sharp drop in durable goods orders to -1.5% for October is a significant red flag for future business investment. This recent weakness should be weighed more heavily than the strong 4.3% GDP growth we saw back in the third quarter.<\/p>\n
The market is already preparing for the Federal Reserve to step in and cut interest rates. Recent data for November showed inflation cooling to a 3.5% annual rate, giving the central bank room to act. As of this week, we see federal funds futures pricing in an 85% probability of a rate cut at the January 2026 meeting.<\/p>\n
Given this environment, we believe traders should consider buying protection against a market downturn. The conflicting economic signals are likely to increase volatility, making options pricing attractive. Purchasing put options on major indices like the Dow Jones Industrial Average could provide a valuable hedge if recent weakness persists.<\/p>\n
The expectation of lower rates should continue to put pressure on the US Dollar. A weaker dollar makes precious metals more attractive, supporting the record highs we are already seeing in gold and silver. We could use call options on gold and silver ETFs to speculate on further gains driven by this monetary policy shift.<\/p>\n
Finally, the flight to safety is evident as speculative assets like Bitcoin pull back from their highs. This risk-off sentiment, combined with record precious metal prices, confirms that investors are growing more defensive. This trend reinforces the case for holding protective derivative positions through the holiday period and into early 2026.<\/p>\n
Create your live VT Markets account<\/a>\u00a0and\u00a0start trading<\/a>\u00a0now. <\/b><\/p>\n","protected":false},"excerpt":{"rendered":" US durable goods orders fell; silver hit record highs; GDP beat forecasts; crypto markets declined further.<\/p>\n","protected":false},"author":62,"featured_media":17025,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[59],"tags":[],"class_list":["post-43479","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-live-updates"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/43479","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/users\/62"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=43479"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/43479\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media\/17025"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=43479"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=43479"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=43479"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}