Gold continues to trade within a consolidation, remaining above $2,000 mark.
The gold futures contract gained 0.09% on Thursday, January 25, as it remained within a consolidation following mid-January sell-off. Despite the important U.S. GDP number release and volatility in the U.S. dollar, the market went sideways again. Last Wednesday, gold was at the lowest point since December 13 on stronger U.S. dollar, among other factors. It retraced almost all of its rally following December’s Fed’s monetary policy release.
In late December, gold bounced from the $2,100 level, and the previous week it was going sideways after breaking below the previous local lows. Earlier, the yellow metal fluctuated following its 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 trading higher, as we can see on the daily chart (the chart includes today’s intraday data):
The gold price is 0.3% higher, as it is trading along the $2,025 level. What about the other precious metals? Silver is 0.5% higher, platinum is 1.0% higher and palladium is unchanged. So the main precious metals’ prices are higher this morning.
Yesterday’s Advance GDP release has been higher than expected at +3.3% q/q. Today we will get the important Core PCE Price Index release at 8:30 a.m., among others.
Below you will find our Gold, Silver, and Mining Stocks economic news schedule for the next two trading days (EST Timezone).
Friday, January 26
- 8:30 a.m. U.S. - Core PCE Price Index m/m, Personal Income m/m, Personal Spending m/m
- 10:00 a.m. U.S. - Pending Home Sales m/m
Monday, January 29
- 7:30 p.m. Australia - Retail Sales m/m
Paul Rejczak
Stock Trading Strategist