Gold extends its downward correction after bouncing from $2,100 level.
The gold futures contract lost 0.46% on Thursday, December 28, as it retraced some of its Wednesday’s advance of 1.1%. On Wednesday, the market was extending the advance after breaking above the recent trading range on Thursday a week ago. Gold continued upwards on weakening U.S. dollar, among other factors. Last week the market went sideways following the previous Wednesday’s FOMC Statement release. The yellow metal fluctuated following the December 4 extraordinary price action and a downward reversal from new all-time high price of $2,152.30. Then, it traded below $2,000 mark on stronger U.S. dollar, uncertainty concerning economic data. After the Fed’s release gold rallied back above $2,050 price level.
On October 6 gold reached new medium-term low of $1,823.50. It was the lowest since early March, but then the market bounced and rallied above $2,000.
This morning gold is lower again, as we can see on the daily chart (the chart includes today’s intraday data):
The gold price is 0.4% lower as it is trading below $2,080. What about the other precious metals? Silver is 1.6% lower, platinum is unchanged and palladium is 0.3% lower. So the main precious metals’ prices are lower this morning.
Yesterday’s Unemployment Claims release has been slightly higher than expected at 218,000. Today we will get the Chicago PMI release at 9:45 a.m.
Below you will find our Gold, Silver, and Mining Stocks economic news schedule for the next two trading days (EST Timezone).
Friday, December 29
- 3:00 a.m. Eurozone - Spanish Flash CPI y/y
- 9:45 a.m. U.S. - Chicago PMI
Tuesday, January 2
- 9:45 a.m. U.S. - Final Manufacturing PMI
- 10:00 a.m. U.S. - Construction Spending m/m
- All Day, Japan - Bank Holiday
Paul Rejczak
Stock Trading Strategist