The net positions for GBP have fallen to £-12K, down from £0.6K previously. This indicates a weaker outlook for the British currency in the market. EUR/USD jumped over 1.1550 due to disappointing US employment and ISM Manufacturing PMI data. This trend shows the Euro gaining strength while the US Dollar faces pressure at the week’s end.

Reversal In GBP/USD

GBP/USD turned positive above 1.3250 after a six-day decline. The drop in US Nonfarm Payrolls and Manufacturing PMI data played a key role in this turnaround. Gold prices reached a weekly high of about $3,350, boosted by lower US Treasury bond yields. This suggests that the market is reassessing the Fed’s rate outlook. In cryptocurrency news, Bitcoin fell below $115,000 after a strong July. Investors are nervous due to tough market conditions and possible downturns in August. The euro area’s economy is holding strong, supported by an EU-US deal and increased spending in Germany. Even though there are risks of rate cuts later on, indicators point to economic resilience.

Weak Sentiment For The British Pound

With net short positions on the British Pound now at -£12K, this is a notable change from last week, pointing to weak sentiment for Sterling. We haven’t seen such bearishness since the economic uncertainties of late 2024. The recent rise in GBP/USD above 1.3250 likely stems from dollar weakness rather than any real strength in the pound. The US Nonfarm Payrolls report was disappointing, showing just 95,000 jobs instead of the expected 180,000. This report heavily influences current market sentiment. As a result, the likelihood of a Federal Reserve rate cut by year-end has surged to over 60%, a major leap from just 35% last week. This makes shorting the dollar against stronger currencies an appealing strategy for the coming weeks. With the dollar weakening, the Euro stands as a key winner, especially with EUR/USD surpassing the 1.1550 resistance level. Recent data showing Eurozone Q2 GDP growth of 0.5%, better than expected, supports this view of underlying economic strength. We might explore call options on EUR/USD to take advantage of potential further gains. Gold’s rise to $3,350 an ounce can be linked to the US 10-year Treasury yield dipping below 3.0% for the first time in six months. This shift indicates a move toward safe assets and a reevaluation of interest rate expectations. As long as yields remain low, gold is likely to keep attracting buyers, possibly retesting earlier highs. Bitcoin’s decline below $115,000 could signal the end of the summer rally, so we should tread carefully. Historically, August has often been a month of correction for Bitcoin after strong summer performances, a trend that seems to be repeating. Rising selling volume suggests that traders are taking profits, so protective puts or reducing long exposure might be wise. Create your live VT Markets account and start trading now.

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The latest data from the Australian Commodity Futures Trading Commission shows that net positions for the AUD are now at -78.1k, an improvement from -81.3k. This slight change is a positive sign. In currency news, the EUR/USD has risen above 1.1550, aided by disappointing employment and ISM Manufacturing PMI data from the US. The GBP/USD also climbed over 1.3250 after a rebound due to weak US job figures. Gold prices hit weekly highs near $3,350 as US Treasury bond yields dropped, prompting a rethink of the Federal Reserve’s interest rate plans. This change boosted the value of XAU/USD. On the other hand, the cryptocurrency market is facing difficulties, even after a strong July. Bitcoin fell below $115,000, with sellers hoping for support around $112,000 due to rising liquidation levels. The euro area’s economy remains stable, supported by the EU-US agreement and increased spending in Germany. However, there are still concerns about a potential interest rate cut, making wage trends important to watch. Traders in the EUR/USD market should look for brokers that offer competitive spreads and quick execution to navigate the Forex market effectively. Due to weak US job data, the dollar is expected to weaken in the upcoming weeks. The Non-Farm Payrolls report from July 2025 showed only 95,000 jobs added, much lower than the expected 180,000. This supports the idea of attractive long positions in pairs like EUR/USD and GBP/USD. With this clear trend, buying near-term call options on EUR/USD seems wise, especially as it rises past 1.1550. The US ISM Manufacturing PMI also fell into contraction at 48.5, indicating that dollar weakness might continue through August. This approach allows for defined risk while following the current trend. Gold’s rise to $3,350 is closely linked to decreasing US Treasury yields and a reassessment of the Federal Reserve’s plans. According to the CME FedWatch Tool, the chance of a Fed rate cut by December 2025 has increased from 25% last month to over 60% after the recent data. This means call options on gold futures are likely to be in high demand. For the Australian dollar, the slight improvement in net short positions isn’t strong enough to signal a buy. The net position remains quite bearish at -78.1k, likely due to concerns about China’s economy, especially after their July Caixin PMI barely remained above expansion at 50.1. Selling out-of-the-money call options on the AUD could allow for premium collection while acknowledging the overall negative sentiment. In the crypto market, Bitcoin is showing signs of weakness as it drops below $115,000. Recent data from Coinglass indicated over $400 million in long position liquidations within just 24 hours last week, indicating strong selling pressure. It’s important to keep an eye on the $112,000 support level, and consider protective puts if it breaks.

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Japan’s latest data shows a drop in CFTC JPY net positions, falling from ¥106.6K to ¥89.2K. This change reflects wider economic trends that are affecting currency markets around the world. In other news, the EUR/USD rate has risen above 1.1550, helped by disappointing US economic data, including poor employment numbers and a weak ISM Manufacturing PMI. Meanwhile, GBP/USD has bounced back, trading over 1.3250 due to the weakness of the US dollar. Gold prices have hit new weekly highs, trading around $3,350. This rise is supported by lower US Treasury bond yields, which have prompted a reevaluation of the Federal Reserve’s interest rate plans. However, Bitcoin and other cryptocurrencies are struggling in August, following a strong July. The Eurozone is showing surprising strength, thanks to the EU-US deal and increased spending in Germany. Still, there are concerns about possible interest rate cuts. Monitoring wage indicators will be key to predicting future monetary policy actions. Choosing the right broker is crucial for trading EUR/USD successfully in 2025. The best brokers offer competitive spreads, fast execution, and strong platforms, catering to both new and experienced traders in the ever-changing forex market. Speculators are reducing their short positions on the Japanese Yen, with net positions falling sharply. This aligns with the disappointing US jobs report for July 2025, where non-farm payrolls added only 150,000 jobs, falling short of the 220,000 expected. Derivative traders may view this as a signal to consider buying JPY calls, anticipating Yen strength if US data continues to weaken. The Euro’s rise above 1.1550 is directly linked to the weak US dollar. Additionally, German factory orders for June 2025 surprised many by increasing 1.5% month-over-month, indicating solid core economic health in Europe. Given these trends, buying call options on the EUR/USD with a strike price near 1.1600 could be a smart strategy in the upcoming weeks. The British Pound is rising past 1.3250, largely due to the dollar’s decline. This increase is also supported by the latest Bank of England meeting minutes, which suggested a tougher approach to combat inflation after June 2025’s CPI came in at 3.1%. Traders might want to consider long positions in GBP/USD futures, as this pair benefits from US weakness and a more aggressive UK policy. Gold is performing well, surpassing $3,350 an ounce as US Treasury yields fall. The 10-year Treasury yield has dropped to 2.95%, dipping below the important 3.00% mark for the first time since early 2025. Traders should consider buying gold futures or call options to take advantage of this trend, as lower yields mean less opportunity cost for holding gold. Although July was strong for Bitcoin, early August is showing signs of weakness. Trading volumes on major exchanges have fallen by about 20% compared to July, and sentiment has been affected by news of a potential SEC investigation into staking services. Traders should remain cautious, possibly looking at protection strategies like put options or reducing leverage on long positions until there is more regulatory clarity.

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Eurozone’s CFTC EUR net short positions decreased from €125.5K to €123.4K. This reflects changes in euro trading positions. EUR/USD rallied, trading above 1.1550 after disappointing US employment figures. The US Dollar weakened due to weaker Nonfarm Payrolls and ISM Manufacturing PMI data.

Market Rally

GBP/USD recovered, trading positively above 1.3250. This change occurred after US job reports fell short of expectations, leading to a short-term bounce for the pair. Gold prices rose to nearly $3,350, achieving new weekly highs. This rise was fueled by declining US Treasury yields and a revised outlook on the Federal Reserve’s rate plans. The cryptocurrency market faces difficulties despite a strong July. Bitcoin dropped below $115,000 as the market adjusts to challenges, with potential support around $112,000. In the euro area, the economy proved strong over the summer. A deal between the EU and US, along with Germany’s spending plans, improved prospects. However, signs of weaker wage indicators could lead to future cuts. A guide for choosing top brokers for EUR/USD trading in 2025 is available. It features brokers with competitive spreads and fast execution, ideal for both beginners and experienced traders.

Currency And Commodity Trading Strategies

Following a disappointing US jobs report last Friday, the dollar has weakened significantly. Nonfarm Payrolls added only 95,000 jobs, far below expectations, and the July ISM Manufacturing PMI dropped to 48.9, indicating contraction. We should be cautious about holding long positions in the US dollar for now. The EUR/USD is pushing above the 1.1550 level, and this trend may continue. Although large traders are still net short on the euro, their positions are decreasing, suggesting a change in sentiment. With Eurozone inflation steady at 2.5% last month, buying near-term call options on the EUR/USD might capture further gains. The British Pound is showing strength against the dollar, with GBP/USD back above 1.3250. However, we should note recent UK retail sales data from late July showed a surprising decline, hinting at some domestic weakness. Selling GBP/USD put options could be a worthwhile strategy, collecting a premium while betting that the pair stays above key support levels. Gold has surged to nearly $3,350 as US Treasury yields decline. The 10-year yield just fell below 3.90% for the first time since May 2025, often supporting gold rallies, similar to what occurred during the Fed’s easing cycle in 2019. Buying gold futures or call options is a straightforward way to trade this momentum. In the crypto market, we need to be more cautious after a strong July. Bitcoin has fallen below $115,000, and testing the $112,000 support level seems likely in the coming days. Traders may consider buying protective put options or selling out-of-the-money call options if they expect consolidation. The market is reevaluating the Federal Reserve’s future path, leading to significant volatility across asset classes. This environment favors strategies that benefit from price fluctuations, such as long straddles on major currency pairs ahead of upcoming inflation data. The key is to remain flexible, as expectations for future interest rate changes will continue to evolve. Create your live VT Markets account and start trading now.

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The Dow Jones Industrial Average (DJIA) dropped nearly 2% on Friday, falling more than 800 points at its lowest point. The market struggled to recover after a disappointing Nonfarm Payrolls (NFP) report showed fewer jobs were added in July than expected. The Dow hit a five-week low of 43,330 and encountered resistance around the 50-day Exponential Moving Average. Overall, the index suffered its worst week since April, falling over 3% from Monday’s opening near 45,000.

US Nonfarm Payrolls Report

In July, US Nonfarm Payrolls added just 73,000 jobs, far below the expected 110,000. The job additions for May and June were revised down, removing over 250,000 jobs from earlier numbers, leaving a three-month total of just 104,000 new jobs. With this disappointing labor data, the market now sees a strong chance of a Federal Reserve rate cut in September. According to the CME’s FedWatch Tool, the likelihood of at least a quarter-point cut has jumped to over 80% following the report, up from 45% before. US economic indicators show ongoing challenges, with the ISM Manufacturing PMI dropping to 48.0. In July, 79% of the manufacturing sector’s GDP saw contraction, a significant increase from June’s 46%, partly due to uncertainties about tariffs and delays in President Trump’s import tax plans.

Market Volatility And Strategies

After Friday’s significant drop, market volatility has increased. The CBOE Volatility Index (VIX) jumped over 18%, closing above 19. Traders may want to consider strategies that benefit from price swings, such as long straddles on major indices. This environment suggests uncertainty will be a major theme in the market for now. Market reactions have shifted expectations firmly toward a rate cut in September. With the probability now exceeding 80%, downside risks could potentially be softened by the likelihood of cheaper money. This makes call options on interest-rate-sensitive sectors with late September expirations more appealing. The decline in the ISM Manufacturing PMI to 48.0 confirms a wider economic slowdown, highlighting the need for Fed intervention. We see yields on the 2-year Treasury note plummet to 3.85% as traders adjust for the anticipated rate cut. This bond market response reinforces our belief that, once the initial shock passes, equities could trend upward. We’re looking at this situation with the perspective of past events, like the Fed’s policy change in 2019. Back then, early market weakness led to a strong rally after rate cuts began, as monetary easing supported asset prices. While history isn’t a perfect predictor, it suggests we should be ready for a possible rally leading up to the September Fed meeting. Create your live VT Markets account and start trading now.

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WTI Crude Oil fell over 3% on Friday but still rose by 2.25% this week. Prices are approaching $66.70 after dropping from nearly $70 earlier in the week. Geopolitical tensions have increased following US President Donald Trump’s announcement of nuclear submarines being positioned near Russia. This has raised energy security concerns. Trump’s messages on Truth Social added to the market volatility, especially since he also warned of tariffs on countries still buying Russian oil. From a technical perspective, WTI is currently forming a symmetrical triangle, with prices moving towards the lower edge. If the current support fails, we could see a bearish breakout down to the $63.00-$60.00 range. The support zone is strengthened by the 50-day and 100-day EMAs, which are around $66.08 and $66.12. If buyers can defend this area, we might see prices bounce back towards $70 or even the June high of $76.74. The Relative Strength Index (RSI) is slightly above neutral at 50.30, while the MACD indicator shows diminishing bullish momentum. This indicates that there is no clear market direction, which reflects the overall uncertainties. As of August 2, 2025, the oil market is experiencing a tug-of-war. The geopolitical tension from the White House’s remarks on Russia is pushing prices upwards. However, China’s July manufacturing PMI data was a bit disappointing at 50.2, signaling slower factory activity and raising concerns about demand. Given the current situation, it’s wise to be cautious in the coming weeks. If prices drop below the critical support around $66, it could quickly fall to the $60-$63 range. This level is important as WTI consolidated in a similar area back in late 2023 before making its next major move. The market seems doubtful that President Trump’s tariff threats will significantly reduce Russian oil supply in the short term. In 2022, price caps were avoided, and recent shipping data shows that Russian oil exports to Asia remained strong in July 2025, averaging over 3.4 million barrels per day. Along with OPEC+ maintaining its production cuts since June 2025, this creates a very tense supply situation. For those considering a rebound, buying short-dated call options could be a smart move. This strategy allows you to take advantage of a bounce off the strong support at the $66 moving averages without needing to invest a lot. The first target would be to retest the $70 psychological level, with the June 2025 high near $77 as the secondary goal. Technical indicators show market indecision, with the RSI close to neutral and bullish momentum fading. Therefore, it’s best to avoid making big, bold moves until prices break clearly out of their current triangle pattern. Staying flexible and ready to respond to a breakout in either direction is crucial.

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The stock market is down, with the Dow, Nasdaq, and S&P 500 futures dropping after hitting resistance at their high points on Thursday. By mid-Friday, the ongoing selloff indicated weak bullish momentum, hinting that further declines could follow if key support levels are broken. In the Dow futures market, a rising-wedge breakdown is in motion, pushing prices lower for the fourth day in a row. Important support levels are at 43,664 and 43,333, with targets around 42,797 if bearish trends continue. If prices can rise past 43,900, a recovery could be possible. The Nasdaq-100 futures have also dropped for two days from a high of 23,760.75. Key support is at 22,794.50, with lower targets of 22,283 if the bearish trend stays strong. A recovery might happen if prices stay above 22,794.50. The S&P 500 futures struggled around 6,459, setting critical support at 6,230.75. bearish targets include 6,192.25 and possibly lower. A bullish recovery could occur if prices return to about 6,279.50. It’s vital for traders to keep an eye on these support levels, as they will influence potential declines or rally opportunities. The recent market decline signals a need for caution. The Dow, Nasdaq, and S&P 500 are showing weakness after failing to push higher, indicating that bears are currently in control. This trend aligns with the recent July 2025 Consumer Price Index report, which was higher than expected at 3.4%, raising concerns about elevated interest rates. For the Dow, we are focusing on the rising-wedge breakdown and considering bearish moves like buying put options or selling futures. If the key support at 43,333 is broken, our next target will be 42,797. We would reconsider a bullish outlook only if prices strongly reclaim 43,900. The decline in the Nasdaq-100 is worrying, and we should prepare for more drops. If it falls below the critical support of 22,794.50, it may drop to around 22,283. Additionally, July’s Non-Farm Payrolls report showed weaker-than-expected job growth, signaling that tech and growth stocks might be especially sensitive right now. On the S&P 500, the failure at 6,459 is a strong bearish indicator for the market overall. We will focus on the support at 6,230.75; if this breaks, we may target 6,192.25 with our short positions. We will also use tight stop-losses on any bullish trades unless the market climbs back above 6,279.50. Overall, this kind of market volatility is not surprising for this time of year. August and September often bring choppy conditions, as we saw with similar pullbacks in late summers of 2023 and 2024. This seasonal trend supports our defensive strategy, leading us to prefer trades that benefit from falling prices or increased volatility.

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Gold prices jumped over 1.50% after a disappointing Nonfarm Payrolls report in the US, indicating a weak job market. Rising tensions between Russia and the US also increased demand for gold, pushing prices close to $3,350.

Expectations of Federal Reserve Actions

After the data from July, the chances of a Federal Reserve interest rate cut increased, even with a slight change in the Unemployment Rate. The Institute for Supply Management noted that manufacturing activity is still low, and Consumer Sentiment, according to the University of Michigan survey, has declined. Gold’s drop to $3,268 reversed due to weak jobless claims data. Revisions for payrolls in May and June revealed a significant cut of 258,000 jobs, marking one of the largest adjustments in two months since 1979. The CBOT December 2025 fed funds rate futures suggest at least 57 basis points of easing by the end of the year. There is a 76% chance of a 25 basis point rate cut in September, bringing rates to the 4.00-4.25% range. In geopolitical news, US actions against Russia, such as positioning nuclear submarines, have heightened tensions. This was in response to Russian comments about US actions being aggressive, particularly due to a shortened deadline for a peace deal with Ukraine. Gold typically moves in the opposite direction of the US Dollar and treasuries. A weaker US Dollar can boost gold prices, while rising stock markets may drive them down. Gold also serves as a safe-haven asset during geopolitical or economic uncertainty.

Reinforcing the Bullish Outlook on Gold

The weak Nonfarm Payrolls report on August 1st, 2025, showed only 95,000 jobs added, far below expectations and highlighting a cooling labor market. This data suggests the Federal Reserve may act soon, reinforcing a bullish outlook on gold for derivative traders. There’s a high likelihood of a Fed rate cut in September, which weakens the US Dollar and raises gold prices. The July Consumer Price Index indicated core inflation fell to 3.8%, giving the Fed more flexibility to ease policy. This makes holding gold, a non-yielding asset, more appealing. Given this situation, buying call options on gold could be a good move. Options with strikes around $3,400 to $3,450 for October or November could benefit from the expected price rise. While implied volatility is increasing, this strategy offers leveraged exposure to potential gains. For futures traders, maintaining long positions in the December 2025 contract (GCZ5) looks promising. We should set stop-loss orders around the recent low of $3,268 to manage risk if economic data shifts unexpectedly. Growing tensions with Russia create a strong price floor for gold, acting as a key safe-haven driver. Recent satellite images showing Russian naval movements in the Baltic Sea have heightened market anxiety. This geopolitical risk is not diminishing, likely continuing to support gold demand. We’ve seen similar situations before, such as in mid-2019 when the Fed started cutting rates amid economic uncertainty. That change led to a significant rally in gold prices. History suggests we may be at the start of another strong upward trend. The U.S. Dollar Index (DXY) dropped below 102.50 following the jobs report, providing immediate support for gold prices. Major gold ETFs like SPDR Gold Shares (GLD) have also seen large inflows this week, indicating that institutional investors share this optimistic view. This broad support suggests the rally is likely to continue. Create your live VT Markets account and start trading now.

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The Australian Dollar is holding small gains against the US Dollar, even after sliding from its earlier rise following the Nonfarm Payroll (NFP) report. The report showed that only 73,000 jobs were added in July, below the expected 110,000, which has raised talk of a possible rate cut by the Reserve Bank of Australia (RBA) on August 12. Currently, the AUD/USD trades around 0.6446, up 0.30% for the day, but it has faced its largest weekly drop since March. The US Dollar Index (DXY) has fallen from a two-month high to 99.13, as the weak US labor market data increases expectations of a Federal Reserve rate cut in September.

Impact of the July NFP Report

The July NFP report showed significant downward revisions, with 258,000 jobs cut from May and June payrolls. The unemployment rate did rise to 4.2% as expected, while wage growth remained stable. Now, the market anticipates an 82% chance of a Federal Reserve rate cut in September. In Australia, the Q2 Producer Price Index (PPI) rose 3.4% year-over-year and 0.7% quarter-over-quarter, indicating easing cost pressures. The second-quarter Consumer Price Index (CPI) showed slowing inflation, aligning with the RBA’s inflation target and supporting the likelihood of a rate cut in their upcoming meeting on August 12. Recent data from August 1st shows a significant change in market expectations. The weak US jobs report, with just 73,000 jobs added in July compared to 110,000 expected, puts a Federal Reserve rate cut firmly on the table for September. The large downward revision of 258,000 jobs for the past two months emphasizes the weak economic situation. This uncertainty led to increased volatility in the market. The CBOE’s VIX index, a key measure of expected market turbulence, jumped 15% after the NFP report, indicating that traders are preparing for larger price swings in the coming weeks.

RBA Meeting and Commodity Prices

In Australia, the Reserve Bank of Australia (RBA) faces its own challenges ahead of the August 12 meeting. Slowing inflation from the second quarter data gives the RBA a strong reason to cut rates. This is further supported by the latest retail sales figures, which revealed an unexpected contraction of 0.3% in July. Additionally, iron ore prices have fallen below $100 per tonne, a level not seen since early 2025, raising concerns about Chinese industrial demand. Together, these weak domestic data and falling commodity prices suggest a likely RBA rate cut next week, creating a strong case for a weaker Australian dollar. For derivative traders, this situation suggests preparing for increased price movement. With both the Federal Reserve and RBA poised to cut rates, implied volatility on AUD/USD options is likely to rise leading up to the RBA meeting and the Fed’s decision in September. Traders should consider strategies that benefit from this expected increase in volatility rather than just betting on one direction. The AUD/USD pair is currently influenced by two dovish central banks, which could limit its overall movement. Although the pair rose to 0.6446 due to US dollar weakness, the potential for an RBA rate cut may restrict any significant gains. We are now closely watching which central bank will act more aggressively in its easing measures. Create your live VT Markets account and start trading now.

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Amazon’s stock has dropped following the July Nonfarm Payrolls report, which showed a big decline in hiring. The report revealed only 73,000 new jobs were created in July, and lower job numbers in previous months, correcting by 260,000, led to a 1.3% fall in the US Dollar against the Euro. In response, traders invested in US Treasuries, causing yields to decrease amid a market slump. The Trump administration’s tariffs on several countries, like 35% on Canada and 25% on India, worried investors further. This resulted in the NASDAQ dropping over 2%, and the S&P 500 and DJIA fell by 1% to 1.5%. Even though Amazon had strong second-quarter results that exceeded Wall Street’s earnings predictions, its stock still fell. AWS revenue increased by 17.5% year-over-year, but market views suggested Microsoft’s Azure is growing faster in cloud services, with AWS revenue of $30.9 billion being seen as lagging. The tariffs could force Amazon to change its supply chain, affecting profit margins by late 2025. The revised job figures indicate a weak labor market, raising recession concerns, which may lead the Federal Reserve to cut rates in September. With Amazon’s stock dropping below the 20-day SMA, indicators show a continued downtrend, with support levels around $204 and $209. The weak jobs report for July has added much uncertainty to the market, making it a good time for derivatives strategies. The CBOE Volatility Index (VIX) has surged over 20% in the last two days to 24.5, the highest this year, indicating we should prepare for more unpredictable price changes in the coming weeks. With Amazon’s stock now below its 20-day moving average, the most likely movement seems to be downward. Buying put options could be a smart move to benefit from this bearish trend. These options will gain value if the stock continues to fall towards support levels near $204. For a strategy with clearer risk, a bear put spread could be effective. By buying a put option near the current price and selling one at a lower strike, such as $200, we can reduce our upfront cost. This would allow us to profit from a steady decline while limiting our losses if the market unexpectedly turns. The new tariffs and potential Federal Reserve rate cuts suggest that implied volatility will likely remain high. We might consider buying call options on the VIX to protect against a broader market decline. These positions grow more valuable as market fear rises. Looking back at the trade disputes from 2018-2019, similar tariff announcements led to sharp corrections in the NASDAQ, with declines over 10%. This history suggests that current market weakness might last longer than many expect. The upcoming Federal Reserve meeting in September will be crucial. Current data from Fed funds futures indicates an 85% likelihood of a quarter-point rate cut. Any Fed guidance that goes against this strong expectation will likely result in more volatility. For those with long-term Amazon holdings, now might be a good time to hedge by selling covered calls. Selecting a strike price well above the current stock price allows us to earn premium income. This income can help offset recent paper losses while we manage through this downturn.

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