October 19, 2026 - Gold Rises 0.44% to $4,183.66, Silver Gains 1.41% to $57.80 and Brent Falls 2.01% to $107.65

Global Markets

(A) Precious Metals

Gold: $4,183.66/oz (+0.44%)

Gold rose 0.44% to $4,183.66/oz, supported by falling U.S. Treasury yields and easing oil prices, which reduced inflation concerns and improved demand for non-yielding assets.

The 10-year Treasury yield declined to approximately 5.05%, while markets priced a 13% probability of an October Fed rate hike and 89% in December, keeping interest-rate expectations central to gold's outlook.

Silver: $57.80/oz (+1.41%)

Silver gained 1.41% to $57.80/oz, supported by declining Treasury yields, stronger precious-metal demand and easing inflation concerns as oil prices retreated.

However, expectations of further U.S. interest-rate hikes and uncertainty surrounding industrial demand remained potential constraints, while investors assessed upcoming inflation data and Federal Reserve policy decisions.

(B) Energy

Brent Crude: $107.65/bbl (-2.01%)

Brent fell 2.01% to $107.65/bbl, pressured by President Donald Trump's decision to waive certain sanctions and tariffs on Russia, raising expectations of additional Russian fuel exports and easing supply concerns.

However, Secretary of State Marco Rubio said the administration could take up to 60 days to assess the economic impact, leaving the policy's implementation uncertain. Meanwhile, Strait of Hormuz disruptions reduced Gulf oil exports from more than 20 million to approximately 8.5 million barrels per day, limiting further downward pressure on prices.

(C) FX

DXY: 101.82

The U.S. Dollar Index held steady at 101.82, supported by euro weakness following violent protests in France, which increased political uncertainty and stabilized dollar demand.

However, falling U.S. Treasury yields and expectations of unchanged Federal Reserve rates limited gains, with markets pricing an 87% probability of no rate change at the October 28 meeting.

USD/JPY: 158.09

USD/JPY remained steady at 158.09, as dollar stability was balanced by expectations of tighter Japanese monetary policy.

Bank of Japan Governor Kazuo Ueda stated that underlying inflation was approaching the central bank's 2% target, supporting expectations of further policy normalization and limiting upward pressure on the currency pair.

EUR/USD: 1.1230 (-0.10%)

EUR/USD declined 0.10% to 1.1230, pressured by violent cost-of-living protests in France, political instability and widening French-German government bond spreads.

French President Emmanuel Macron condemned the violence, while the French-German yield spread approached 140 basis points, intensifying fiscal concerns and weakening investor confidence in the euro.

GBP/USD: 1.3329

GBP/USD remained broadly unchanged at 1.3329, supported by stronger UK economic growth and expectations of further Bank of England tightening, which helped offset dollar stability.

Sterling had gained 0.66% against the dollar over the previous week, while markets anticipated a 25-basis-point Bank of England rate hike on November 5. Governor Andrew Bailey indicated that broader inflation effects from higher energy prices remained limited, although uncertainty persisted.

High-Impact Economic Events

Note: These economic events are for informational purposes only. Please conduct your own research before making any market decisions.

Volatility

The VIX reached 20.57, reflecting heightened market caution amid AI-sector weakness, Fed policy uncertainty and Middle East tensions, while falling oil prices and recovering equity futures helped ease concerns.

What Markets Are Watching

1. Federal Reserve Policy, Canadian Inflation & Treasury Yields

Investors are assessing the likelihood of further Fed tightening as persistent U.S. inflation keeps borrowing costs elevated. Markets priced a 13% probability of an October rate hike, while Canada's upcoming CPI figures could influence Bank of Canada expectations and CAD movements. Falling Treasury yields, meanwhile, remain an important driver of gold and equity sentiment.

2. Russian Sanctions Relief & Middle East Oil Supply Risks

Brent fell toward $108/bbl following Washington's decision to ease certain sanctions and tariffs on Russia, potentially allowing additional fuel exports. However, uncertainty over implementation and continued Strait of Hormuz shipping disruptions kept supply concerns elevated. Investors are watching whether increased Russian exports can meaningfully offset Middle Eastern disruptions.

3. AI-Sector Earnings, Chinese Growth & Global Equity Sentiment

Technology-sector financing concerns continued to weigh on Asian equities following sharp semiconductor losses. China's third-quarter GDP grew 4.5%, slightly exceeding forecasts, while U.S. equity futures recovered as oil prices declined. Upcoming earnings from Meta, Tesla and major semiconductor companies will be closely watched for evidence that AI-related investment can translate into sustainable profitability.