Gold and silver trade higher ahead of the European open

London (Jan 11)  Gold has risen half a percent overnight to trade above $1800/oz again. Silver has also used 0.77% in higher to trade at $22.60/oz ahead of the European open. In the rest of the commodities complex, copper is 0.36% higher while spot WTI rose 0.62%. 

Risk sentiment was pretty bearish overnight as the Nikkei 225 (-0.90), ASX (-0.77%), and Shanghai Composite (-0.73) all struggled. Index futures in Europe are trading well ahead of the cash open. 

In FX markets, AUD/USD was the biggest mover overnight rising 0.34% and commodities currencies performed well in general. In the crypto space, BTC/USD rose 0.75% to trade at $42,129.

Headlines from overnight:

ECB sees inflation falling this year and back below 2% target in 2023, 2024.

Fed's Barkin says a March 2022 Federal Reserve rate rise is conceivable.

Fed Chair Powell says the US economy is expanding at its fastest pace in many years.

Fed's Clarida is resigning two weeks early.

China orders suspension of some U.S. flights.

Further coronavirus restrictions in China's Shenzen. Partial lockdown imposed on a district of Tianjin, China.

China plans to build 6.5m low-cost new homes by the end of 2025.

Volkswagen is optimistic that inflation will ease. Pessimistic on continued chip shortage.

Biden reducing the land available for oil exploring in Alaska reserve from Trump's 82% to 58%.

Japan November preliminary leading indicator index 103.0 vs 100.2 prior.

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