Money Flows on the last trading day of the year before the European session

On New Year's Eve, cash flows remain focused on gold due to the weakening dollar, in oil because of rising Middle East risks, and in the yen and franc against the backdrop of cyclical gains.

Risky assets are experiencing an outflow of investors in the last hours of 2019, closing positions, reaping gains and thinking of new tactics and strategies for next year. The euro and the pound also remain stable, the repo market is calm, the US dollar remains weak.

Today, European markets are open for a limited time and we expect the status quo to stay. The sentiment risk is absolutely up-to-date, supported by the expectation that the Phase I Deal will be signed within a few days. Government securities yields also remain high with the 2s / 10s spread at super-quiet levels, widening the yield curve to safe levels. The securities are backed by a Fed buyout. Volatility is also calm, with VIX stable in the zone at 14.50 - 15. It is normal for VIX to rise at some pace due to the closing positions.

Cash flows are targeted for recent maneuvers in the last European and American session for 2019, with the Asian session ending in a mixed but under the effect of profit taking.

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