Singapore’s industrial production saw a yearly rise of 14.3% in November, beating the 14.2% growth forecast. This growth highlights positive economic changes impacting the region’s industrial sectors. The USD/CAD exchange rate is close to five-month lows. This movement is due to differing policies from the Bank of Canada and the Federal Reserve. Meanwhile, gold prices have dipped from their all-time high of $4,500 due to profit-taking and lower trading activity as the holiday season approaches.

Cryptocurrency Market Trends

Bitcoin is now trading at around $86,770 after failing to break the $90,000 mark, following a significant outflow of $188.64 million from ETFs. Avalanche is holding steady around $12 after Grayscale updated its ETF conversion filing with the US Securities and Exchange Commission. Looking ahead to 2026, the economic forecast suggests strong growth, supported by beneficial factors from 2025. This outlook comes amidst a strong global economy, highlighting trends and predictions for the coming years. A review of potential brokers for 2025 examines key features for trading across various regions and assets. This includes brokers with low spreads, high leverage, and those that offer the Metatrader 4 platform. The US Dollar is showing signs of weakness as expectations grow for the Federal Reserve to ease in early 2026. Recent US inflation data from November revealed that the Consumer Price Index dropped to 2.8%, bolstering the case for potential rate cuts. This situation encourages the use of derivative strategies that take advantage of a declining dollar, like purchasing calls on currency-hedged international ETFs.

Gold Market Analysis

The recent pullback in gold prices from highs above $4,500 appears to be a brief pause due to lighter holiday trading. We have seen similar trends in past years, such as late 2020, where consolidation was followed by a major rally influenced by supportive monetary policies. This suggests that buying call options during dips could be a smart way to position for a price increase in early 2026. With positive S&P 500 forecasts for 2026, we should prepare for strong equity markets. The Volatility Index (VIX) is trading low at around 13, indicating minimal market fear, which makes option premiums attractively low. This scenario is ideal for purchasing long-dated call options on major indices to benefit from expected gains over the next year. The impressive 14.3% rise in Singapore’s industrial production suggests broader strength in key Asian economies. Recent purchasing managers’ index (PMI) data from the region has shown consistent manufacturing growth for four months, supporting bullish positions on Asian markets, potentially through futures on indices like the Hang Seng or Nikkei 225. The Canadian dollar is nearing five-month highs against the US dollar, likely continuing this trend. The Bank of Canada’s more aggressive stance compared to the Federal Reserve indicates a clear policy divergence. We can consider selling put spreads on the USD/CAD currency pair, anticipating that it will not rise significantly and may maintain a gradual decline. Create your live VT Markets account and start trading now.

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