In August, European stocks rose while the US dollar fell and oil struggled.

    by VT Markets
    /
    Sep 1, 2025
    In August, Deutsche Bank shared data on how different assets performed when adjusted to USD. The US Dollar Index dropped by 2.2% due to criticism of the Federal Reserve and a weak July jobs report. Oil faced new challenges in August, contrasting with a strong year for European stocks, while China made significant progress. Gold and silver also did well, showing significant gains.

    The US Dollar’s Weakness

    August highlighted the US dollar’s weakness, which will likely continue in the near future. The Dollar Index fell by 2.2% last month, influenced by disappointing economic news, including just 95,000 new jobs reported on August 1st. We suggest considering put options on dollar-tracking ETFs or selling USD futures before the Federal Reserve meeting on September 18th. European and Chinese stocks are gaining traction, benefiting from a weaker dollar. For example, Germany’s DAX index rose by 4.1% in August, continuing a rally that began in spring 2025. We recommend exploring call options on major European indices and China-focused ETFs like FXI. In contrast, oil struggled in August, and we anticipate this trend to continue as concerns about slowing global demand grow. WTI crude futures recently fell below the important $75 per barrel support level for the first time since May 2025. Traders should consider purchasing put options on oil futures to protect their investments or to profit from a potential decline.

    Gold and Silver Performance

    Gold and silver are rising thanks to the dollar’s drop and economic uncertainty, signaling good opportunities for traders. Last week, gold futures surpassed $2,450 per ounce, a level not reached since a brief spike in early 2024. We believe buying call options on gold and silver ETFs is a wise strategy to take advantage of this trend. Create your live VT Markets account and start trading now.

    here to set up a live account on VT Markets now

    see more

    Back To Top
    server

    Hello there 👋

    How can I help you?

    Chat with our team instantly

    Live Chat

    Start a live conversation through...

    • Telegram
      hold On hold
    • Coming Soon...

    Hello there 👋

    How can I help you?

    telegram

    Scan the QR code with your smartphone to start a chat with us, or click here.

    Don’t have the Telegram App or Desktop installed? Use Web Telegram instead.

    QR code