Gold retraced most of its Friday’s rally ahead of today’s Fed’s release.
The gold futures contract lost 2.10% on Tuesday, Mar. 21, as it retraced more of its recent rally after bouncing from the $2,000 price level. On Monday the daily high was at $2,014.90, however gold closed well below $2,000. The market continues to react on banking crisis news. Today it will likely be very volatile following the Fed’s Rate Decision release.
In early March the yellow metal was selling off after the Fed Chief Powell’s hawkish testimony. Then it rebounded from the local low of around $1,813.
Today gold is trading along the yesterday’s closing price as we can see on the daily chart (the chart includes today’s intraday data):
The gold price is 0.1% higher this morning as it is trading slightly below the $1,950 level. What about the other precious metals? Silver is 0.2% higher, platinum is 0.8% higher and palladium is 1.4% lower. So the main precious metals’ prices are slightly higher this morning.
Yesterday’s Existing Home Sales release has been higher than expected at 4.58M. Today we will get the important FOMC monetary policy release at 2:00 p.m. The market expects an interest rate increase of 0.25%, however, it may see a lot of volatility following the release and the Fed’s Press Conference at 2:30 p.m.
Below you will find our Gold, Silver, and Mining Stocks economic news schedule for the next two trading days (EST Timezone).
Wednesday, March 22
- 3:00 a.m. U.K. - CPI y/y
- 4:45 a.m. Eurozone - ECB President Lagarde Speech
- 2:00 p.m. U.S. - FOMC Statement, Federal Funds Rate, FOMC Economic Projections
- 2:30 p.m. U.S. - FOMC Press Conference
Thursday, March 23
- 8:00 a.m. U.K. - Monetary Policy Summary, Official Bank Rate, MPC Official Bank Rate Votes
- 8:30 a.m. U.S. - Unemployment Claims, Current Account
- 10:00 a.m. U.S. - New Home Sales
Paul Rejczak
Stock Trading Strategist