Greece’s Producer Price Index (PPI) fell 1.1% in September compared to last year. This is better than the earlier decline of 1.7%, showing changes in production costs over the past year. The European Central Bank (ECB) is expected to keep its interest rates steady for the third time in a row. Key rates such as the main refinancing operations, the marginal lending facility, and the deposit facility are likely to stay at 2.15%, 2.4%, and 2%, respectively.

Global Currency Shifts

Global markets are experiencing shifts. The USD/CHF has risen due to changes in US fiscal policy and better US-China trade relations. Meanwhile, the GBP/USD has dropped below 1.3200 due to US monetary policy decisions impacting its value. In commodities, gold prices have increased slightly but remain below $4,000, mainly due to easing tensions between the US and China. The cryptocurrency market has reacted positively to the recent meeting between Trump and Xi, with major cryptocurrencies like Bitcoin, Ethereum, and XRP rising by 1%. Several financial markets and instruments are adjusting, with Bittensor showing positive momentum and predictions for further growth. Brokerage services in 2025 offer insights into cost-effective trading and many broker options worldwide. The earlier data on Greek producer prices indicated deflation, but the situation has shifted. The latest Eurozone flash estimate for October 2025 shows inflation stuck at 2.7%, above the European Central Bank’s target. The ECB’s deposit rate has now increased to 3.50%, compared to 2% back then. This suggests that the rate hiking cycle has ended, making options that benefit from a stable EUR appealing.

Continued Strength of the US Dollar

The US Dollar remains strong, driven by persistent inflation rather than just a “hawkish Fed.” Recent core PCE data recorded at 3.1% keeps pressure on the Federal Reserve to maintain its tight policies. It’s wise for derivative traders to consider long positions in the US dollar index (DXY), which has remained robust throughout 2025. In the past, Trump-Xi meetings eased trade tensions, keeping gold prices under $4,000. Currently, renewed US-China friction over technology exports has reversed this trend, leading to a flight to safety. As a result, gold has recently surged past $4,350, and traders should look into call options to benefit from the rising geopolitical risks. Old currency levels, like EUR/USD around 1.1600 and GBP/USD above 1.3200, seem far removed from where we stand in late 2025. The strong dollar has pushed EUR/USD down to about 1.0750, while slower growth in the UK has brought GBP/USD close to 1.2200. We expect continued pressure on these currency pairs, making put options or put spreads a smart strategy for continuing dollar strength. Create your live VT Markets account and start trading now.

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