On Thursday, the leading precious commodity managed to leap against in the face of the depreciation of the evergreen buck. Fears about trade between the United States and China also increased the demand for the number one precious commodity.
June delivery gold futures tacked on by 0.6% on the Comex exchange being worth $1297.00 per troy ounce.
The greenback slumped after the record of the last meeting of the Fed indicated a cautious attitude of officials to lift the interest rate before the end of 2018. The protocol uncovered on Wednesday indicated that officials of the Federal Reserve are trying for some time to keep inflation above the target level of 2%. This suggests that the Fed isn’t going to rush to tighten monetary policy.
The US dollar index, which evaluates the purchasing power of the American currency versus six main currencies, inched down 0.28% coming up with a reading of 93.65.
Assets, traded in the US dollar, such as gold, for instance, are sensitive to any changes in the greenback’s exchange rate. So, a depreciation of the evergreen buck makes the yellow metal cheaper for those investors who hold other currencies, and it raises the demand for gold.
The escalation of tension in trade relations between the United States and China also led to a soar in demand for defensive assets. On Wednesday, US President Donald Trump made rather a dismal outlook on bilateral talks, calling for a new format of trade between countries and also suggesting that current arrangements would be very difficult to implement in practice.
Besides this, the attention of investors will be focused on the report on the number of initial applications for unemployment benefits as well as the report on the sales of houses in the secondary housing market in April.
For a long time, traders considered American Non-farm Payrolls (NFP) the most important release in the market. However, the situation has changed. Now US CPI moves financial markets.
United States Bureau of Labor Statistics will release monthly average hourly earnings, non-farm employment change (NFP), and unemployment rate on November 5, 14:30 GMT+2.
United States Bureau of Labor Statistics will release monthly average hourly earnings, non-farm employment change (NFP), and unemployment rate on October 8, 15:30 GMT+3.
Oil prices are rising and Russia banned the export of its petrol. What's happening in the markets?
Today's main event for the markets is the FOMC Interest Rate Decision, where the US regulator is widely expected to keep the interest rate at the same level of 5.5%.
In today's market insights, we delve into Citibank's oil price predictions, the evolving competition between Huawei and Apple, the Saudi Arabia-Tesla partnership, and the upcoming rate decisions from the world's major central banks.
FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.
Your request is accepted.
A manager will call you shortly.
Next callback request for this phone number
will be available in
If you have an urgent issue please contact us via
Live chat
Internal error. Please try again later
Don’t waste your time – keep track of how NFP affects the US dollar and profit!
|
