In November, South Korea’s service sector saw an increase of 0.7%, bouncing back from a previous decline of -0.6%. This suggests a positive shift in the service industry. Traders are watching the EUR/USD currency pair, which remains stable above 1.1750 as they await the Federal Open Market Committee Minutes. Meanwhile, GBP/USD fell below 1.3500, affected by quieter holiday trading.

Gold Prices and Market Movements

Gold prices stayed above $4,300, despite reaching a high of $4,550. The weak US dollar and lower market confidence played a role in this. Profit-taking led to a drop toward $4,300, where demand picked up again. BitMine Immersion has increased its Ethereum holdings by adding over 44,463 ETH, bringing their total to 3.41% of Ethereum’s circulating supply. Looking ahead to 2026, economic and crypto predictions suggest that positive trends from 2025 will continue for advanced countries. Changes in crypto regulations and greater adoption of digital asset strategies are expected to boost the market. Several brokers are recommended for 2025 due to low spreads and high leverage. Specific brokers are highlighted for trading currencies like EUR/USD and gold, with options for Islamic accounts and platforms such as MT4.

Impact of the Federal Reserve’s Rate Cut

The Federal Reserve’s rate cut in December 2025 has set a trend for a weaker dollar as we enter the new year. The US Dollar Index (DXY) has dropped from its mid-2025 highs to around 95 this month. Strategies that could benefit from this include buying call options on the EUR/USD pair, especially with the upcoming FOMC minutes likely supporting this dovish outlook. Gold’s recent rise to a record high above $4,300 per ounce is a response to the falling dollar and ongoing caution among investors. This marks a gain of over 50% for gold throughout 2025, solidifying its role as a key investment. We can explore derivatives like call spreads on gold futures to tap into further gains while managing costs. It’s important to monitor the policy differences between the Fed and other central banks, like the Bank of England. Recent UK inflation data from November 2025 showed a stubborn rate of 3.1%, making it challenging for the BoE to ease policies alongside the Fed. This divergence supports maintaining long positions in the GBP/USD pair. We should stay vigilant, as the holiday period brings lower liquidity, which can lead to unexpected market movements. Similar low-volume spikes occurred during the 2023 holiday season, where small news items triggered larger reactions. Using options to limit risk is a smarter approach than holding high-leverage futures until normal market activity resumes in January. Certain areas show strength that could lead to tactical trades. The positive trend in South Korea’s service sector indicates possible short-term bullish opportunities in Asian equity indices. Additionally, ongoing institutional interest in Ethereum points to underlying strength, making ETH call options an appealing speculative bet as we enter 2026. Create your live VT Markets account and start trading now.

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