Stocks and gold rise as oil eases; EUR weakest into AU CPI and RBNZ overnight

Daily Wrap, Tuesday, 27 October 2026. Published 21:15 UTC.

Risk-on: Indices averaged +0.73% over 24h, oil fell 1.09% and the yen was soft (-0.12), all consistent with better risk appetite. Gold's 1.08% gain was an oil-relief story rather than haven demand.

In short

Themes

Oil, not rates, is steering the metals

Gold and silver rose even though the USD and Treasury yields firmed, because WTI eased toward $100 on Middle East diplomacy and cooled inflation fears. CTAs are short gold across all signals, which leaves room for short-covering if oil keeps sliding. A renewed crude surge would revive Fed hike bets instead.

USD firm, EUR on the back foot into Fed and ECB

DXY extended a three-day rally to two-week highs above 102.00 on Durable Goods, CB Confidence at 91.7 and waning US-Iran peace-deal hopes. The 5Y auction clearing lower at 4.845% tempered the rally. EUR weakness amplified it: French OAT-Bund spreads widened to 161bp and French consumer confidence fell to 80 from 86. EURUSD is down 0.42% over 24h and GBPUSD is down 0.25% at 1.33072 into Wednesday's Budget.

Antipodean double header before the Fed

AUD leads the strength board but AUDUSD at 0.70248 remains capped near the 100-day SMA at 0.7035-0.7040, with CFTC net shorts deepening to -127.3K. NZDUSD has failed at 0.5700 for four straight sessions, and a plain RBNZ hike to 3% is largely priced. The forward guidance from both central banks matters more than the headline decisions.

What moved

Releases

Levels to watch

Ahead

Bullock, the Australian trimmed-mean CPI and RBNZ guidance set the overnight tone. After that, the UK Budget, the BoC at 13:45 UTC and the FOMC at 18:00 UTC will show whether the USD can hold above 102.00.