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.
Gold rallies as American stock-market surge seems set to pause
On Wednesday, the yellow metal surged because a leap in shares, which took two of the three key American stock indexes to record peaks, cooled.
However, a perky evergreen buck, keeping to its highest value for 22 months, kept gains for gold checked.
As a matter of fact, June delivery gold futures went up by about 0.1% ending up with $1,274.40 an ounce right after the most-active contract managed to settle at its lowest values since December 26 yesterday. Gold has decreased in 5 of the last 6 trading sessions.
Eventually, metals have been suppressed due to the fact shares have mounted a steady ascend to peaks since a selloff late 2018, with the S&P 500 index SPX as well as the Nasdaq Composite Index COMP demonstrating all-time maximums on Tuesday. However, stocks looked braced for facing struggles contributing to recent profits.
Besides this, the ICE USD index, a major indicator of the evergreen buck versus six key counterparts, jumped by up to 0.1% being worth 97.695, which is close to its highest value since June 2017.
A stronger American unit is able to make purchasing the buck-pegged commodity less affordable for traders who utilize other currencies.
In fact, the bout of weakness in the yellow metal has made some assets pegged to gold more attractive, as some experts explained. In addition to this, the SPDR Gold Shares exchange-traded fund GLD went down less than 0.1%.
May delivery silver futures managed to surge by up to 0.1% concluding the trading session at $14.805 an ounce. As for May delivery copper futures, they jumped by nearly 0.5% reaching $2.908 a pound.
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.
As Europe moves into recession, next week may provide us with some amazing trading opportunities. Here they are!
Main news that will drive the market in the upcoming week include CB Consumer Confidence Index, Canadian GDP, and US Core PCE Price Index
The Federal Reserve (Fed) will announce its Interest Rate Decision and make a statement about the future monetary policy on Wednesday, September 21, GMT+3. After the higher-than-expected inflation numbers published on September 13, there’s almost no doubt the Federal Reserve will come up with another 75-basis-point rate hike. However, surprised by the CPI numbers, several Fed members announced the possibility of a 100-basis-point rate hike on Wednesday.