Gold price futures fluctuated in a narrow range that tilted higher to witness stability near its highest in nine years amid the decline in the US dollar index to its lowest since June 11, according to the inverse relationship between them after the developments and economic data that were followed ...
Gold price futures fluctuated in a narrow range that tilted higher to witness stability near its highest in nine years amid the decline in the US dollar index to its lowest since June 11, according to the inverse relationship between them after the developments and economic data that were followed by the Chinese economy, the largest consumer of metals globally On the cusp of developments and economic data expected today, Thursday, by the US economy, the largest economy in the world, and in the shadow of concern about the increasing numbers of people infected with coronavirus, especially in the continents of South and North America.
At exactly 04:18 am GMT, gold futures contracts for next August delivery rose 0.14% to trade at $ 1,821.30 per ounce compared to the opening at $ 1,818.80 per ounce, knowing that the contracts started the trading session on a falling price gap after it concluded trading Yesterday at $ 1,820.60 an ounce, with the US dollar index down 0.21% to 96.25 compared to the opening at 96.45.
We have followed the disclosure of the Chinese National Bureau of Statistics of inflation data with the release of the annual reading of the consumer price index, which indicated the acceleration of the pace of growth to 2.5%, in line with expectations, compared to 2.4% last May. As for the annual reading of the producer price index, which is an initial indicator Inflationary pressures showed that the contraction shrank to 3.0% versus 3.7%, outperforming expectations that the contraction shrank to 3.2%.
On the other hand, investors are currently awaiting by the American economy the release of the index of subsidy requests for the last week on the fourth of July, which may reflect a decline of 52 thousand requests to 1,375 thousand applications compared to 1,427 thousand requests in the previous reading, as may appear reading subsidy applications Continuing for the last week on the 27th of June, down by 340 thousand requests to 18,950 thousand requests compared to 19,290 thousand requests.
This comes before we witness the issuance of the final reading of the wholesale stocks index, which may confirm a decline of 1.2%, unchanged from the initial reading for the month of May, and against a rise of 0.3% last April, and in the shadow of the market's assessment of the increasing number of cases infected with the Coronavirus in America, This prompted many states to propose the restoration of closures, while White House economic adviser Larry Kudlow yesterday stressed that the economy would not be closed again.
Gold price shows the further rise and approached our second awaited target at 1827.00, and affected by the stochastic negativity to present some slight negative trades now, pending obtaining a positive momentum enough to push the price to resume the main bullish trend, whose next target is located at 1855.00.
SMA 50 continues to provide positive support for the price, which is organized within the bullish channels that appear in the picture, and therefore, we continue to favor the bullish trend for the next period provided that the price maintains its stability above the level of 1766.00.
The expected trading range for today is between 1795.00 support and 1830.00 resistance.
Expected trend for today: bullish.