In July 2021, India’s M3 money supply rose to 9.6%, up from 9.5%. This change indicates a shift in the country’s financial situation. The EUR/USD was around 1.1640, while the GBP/USD moved up towards 1.3350. These changes were driven by a weakening US Dollar and market expectations about the Bank of England’s policies. Gold prices dropped below $3,360 per troy ounce, moving back from a recent increase. This dip occurred in a risk-on market environment, shifting focus to upcoming announcements from the Federal Reserve. Bitcoin was holding steady near $114,000, with interest from institutions like Japan’s SBI Holdings filing for ETFs. Ethereum remained above $3,600 as spot ETFs saw investments of $73 million just the day before. Economists anticipate a slowdown in US economic growth, despite ongoing trade volatility. The attention is on changing trade policies that significantly affect the economy. Back in mid-2021, India’s M3 money supply was growing at 9.6%. Now, the Reserve Bank of India reports a growth rate of 7.2% as of July 2025, indicating a tighter monetary environment. Traders might consider call options on USD/INR, anticipating a possible depreciation of the Rupee in the weeks ahead. The currency landscape looks different today compared to four years ago when EUR/USD was around 1.1640. Currently, it’s about 1.0750, influenced by a strong U.S. non-farm payrolls report adding 280,000 jobs last week. There’s an opportunity to sell near-term EUR/USD futures contracts to take advantage of this dollar strength. Similarly, GBP/USD has decreased from its 1.3350 level in 2021 and is now at 1.2280. With the Bank of England recently pausing rate hikes, buying put options on the Pound might be a wise strategy to protect against further weakness against the dollar. We remember gold’s drop in 2021 as markets anticipated Federal Reserve actions. Today, gold is trading firmly at $2,450 per troy ounce, driven by ongoing global inflation. The latest U.S. CPI data shows inflation remains high at 3.8%, making buying call options on gold futures a smart move. Bitcoin’s price peak near $114,000 in 2021 seems far away now, as it currently trades around $95,000 amidst challenges from recent SEC commentary on staking services. However, institutional interest remains, with digital asset products reporting $150 million in net inflows last week, according to CoinShares. For Ethereum, which was above $3,600 back then, it’s now trading near $7,800. With the recent dip, traders might consider selling cash-secured puts with a strike price of around $7,500. This lets them collect premiums while waiting for a clear entry point if the market dips further. The economic slowdown in the U.S. we discussed back in 2021 has largely happened. Recent government data showed that the second-quarter GDP for 2025 grew at a slow 0.8% annually. As a response, derivative traders should consider options on the CBOE Volatility Index (VIX), as buying VIX call options can provide a hedge against potential market turbulence.

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