This week started with the talk of the United States banning Russian oil exports, so XBR/USD saw $130 a barrel. Then the ban became reality. What does it really mean for the market?
Gold dives in Asia on China consumer prices
On Wednesday, gold sank in Asia because the previous month weaker than anticipated consumer inflation in China affected views on global inflation soaring more than expected this year.
February delivery gold futures dived 0.12% being worth $1,312.10 a troy ounce.
China’s consumer prices rallied 0.3% on month and also at a 1.8% on year, as official data disclosed on Wednesday, which is below the anticipated 0.4% and 1.9% profits observed respectively.
Overnight, gold kept easing from multi-month maximums amid a revival in the greenback as market participants weighed the prospect of global monetary policy tightening after the BOJ reduced its bond purchases.
On Tuesday, gold rebounded further from four-month maximums because treasury yields tacked on, backing dollar strength amid soaring hopes for global monetary policy tightening after the BOJ reduced its purchases of long-term bonds.
In a soaring interest rate environment, traders’ appetite for gold weakens as the unique opportunity cost of holding gold inches up relative to other interest-bearing assets, including bonds.
US Energy Information Administration will reveal Crude oil inventories on February 9, 17:30 GMT+2.
On Wednesday, February 2, during the day, members of the Organization of Petroleum Exporting Countries (OPEC) and Joint Ministerial Monitoring Committee (JMMC) will discuss a range of issues regarding energy markets and, most importantly, agree on how much oil they will produce.
The Australian Bureau of Statistics will announce the updated Unemployment Rate and Employment Change data on Thursday, May 19, at 04:30 MT.
The UK Office for National Statistics will publish Consumer Price Index (CPI) data on Wednesday, May 18, at 09:00 MT.
The US Census Bureau will announce Core Retail Sales and Retail Sales on Tuesday, May 17 at 15:30 MT.