Today's Must-Know Market Updates

Trump's Tariff Decisions Update

**Tariffs on Mexico and Canada**

President Trump plans to implement tariffs of up to 25% on imports from Mexico and Canada starting February 1, 2025, citing insufficient action on undocumented migration and drug trafficking.

**Tariff on China**

A 10% tariff on all Chinese imports is also set to be introduced, potentially generating $1.5 trillion in revenue by 2035.

**Colombian Tariffs Backtrack**

After Colombia agreed to accept deported individuals, Trump temporarily suspended his initial threat of 50% tariffs on Colombian imports.

**Future Tariff Speculations**

There are indications that additional tariffs may be introduced, affecting various sectors, including steel, aluminum, and pharmaceuticals, with more details expected soon.

Market Analysis

**GOLD**

Gold prices are currently held up by the previous swing low and the EMA 200. While normalization of the drop is evident in the RSI, and the MACD shows growing volume with increasing bearish momentum, overall price action maintains a bullish bias as prices quickly returned above the zone after breaching the low. With this, we remain cautious and expect the market to consolidate briefly ahead of the FOMC decisions. Alternatively, prices could drop significantly while expecting the FED to hold rates this month. Any unpredictable decision, particularly if Trumps call for immediate rate cuts is heeded, would cause a sharp turnaround and push Gold prices higher.

**SILVER**

Silver prices are currently consolidating between 30.6675 and 29.9000. Both the RSI and the MACD indicate increasing selling momentum in anticipation of a stronger Dollar and the resolution of geopolitical tensions. However, the buying of Gold could pull Silver prices upward. We are waiting for more market cues to determine the direction, though our bias remains bullish. The EMA 200 is moving sideways, reflecting the consolidated nature of the market, with prices trading between the EMA levels.

**DOLLAR**

The Dollar gapped higher, reflecting an overall appreciation in demand. The MACD shows increasing volume, though prices are rising unexpectedly fast. The RSI is signaling overbought conditions, suggesting a possible price reversal for normalization. Despite this, overall price action still respects bearish structures, and the gap suggests a likely return to fill the space.

**POUND**

The Pound is consolidating, with MACD showing increased selling momentum while the RSI indicates an oversold condition. Despite expectations for a weaker Eurozone and UK, there are signs of potential bullish demand due to exaggerated selling volume. Uncertainty remains with Trump's calls for rate cuts affecting market sentiment.

**AUSSIE DOLLAR**

The Australian Dollar weakened after Trump announced tariffs on key imports affecting its economy. Both MACD and RSI show growing bearish momentum, signaling further selling ahead as prices return to the upper boundary of the consolidation zone.

**KIWI DOLLAR**

The Kiwi is testing the upper consolidation boundary, with potential for a bearish shift if it breaks below. Increasing selling momentum is noted in both MACD and RSI, suggesting continued bearish trends.

**EURO**

Consolidation persists for the Euro, but selling momentum is increasing after failing to break a swing high. While the RSI shows oversold conditions, its recovering quickly, indicating bearish price movement.

**YEN**

The Yen gained strength after a hawkish BOJ outlook, but the RSI suggests overbought conditions, hinting at a possible retracement. Price action remains bearish overall amid reactions to Trump's tariff announcements.

**FRANC**

The Franc declined but bounced back following renewed tariff threats. The RSI indicates overbought levels, suggesting near-term retracement, while MACD shows increased buying volume despite being less reliable.

**CAD**

The Canadian Dollar remains consolidated as markets await Trump's tariff decision by February 1. Current indicators show neutrality, but potential buying momentum may emerge if tariffs are enacted, alongside upcoming rate cut decisions.