Gold broke its consolidation, reaching below $2,300 on Fed policy fears.
The gold futures contract lost 2.32% on Tuesday, April 30, as it broke below the trading range along the $2,350 level. Recently, gold was selling off from a new record high of $2,448.80 reached on April 12. On previous Friday, the yellow metal reached a local high of around $2,433 in a reaction stock market’s sell-off amid Middle East tensions, strong USD.
On February 14, gold was the lowest since mid-December, after breaking below local lows from January on the consumer inflation release. Since then, it gained over $400.
This morning gold is trading along its yesterday’s close, as we can see on the daily chart (the chart includes today’s intraday data):
The gold price is unchanged, as it is trading along the $2,300 level. What about the other precious metals? Silver is 0.2% higher, platinum is 1.2% higher and palladium is 1.1% lower. So, the main precious metals’ prices are little-changed this morning.
Yesterday’s Employment Cost Index release has been higher than expected at +1.2% q/q, which caused a sell-off in precious metals. Today, we will get a series of very important data: the ADP Non-Farm Employment Change at 8:15 a.m., the ISM numbers at 9:45 a.m. and 10:00 a.m., among others, and the crucial FOMC Rate Decision release at 2:00 p.m., followed by the FOMC 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, May 1
- 8:15 a.m. U.S. - ADP Non-Farm Employment Change
- 9:45 a.m. U.S. - Final Manufacturing PMI
- 10:00 a.m. U.S. - ISM Manufacturing PMI, JOLTS Job Openings, ISM Manufacturing Prices, Construction Spending m/m
- 2:00 p.m. U.S. - Federal Funds Rate, FOMC Statement
- 2:30 p.m. U.S. - FOMC Press Conference
- 4:15 p.m. Canada - BOC Governor Macklem Speech
- All Day, U.S. - Wards Total Vehicle Sales
- All Day, Eurozone - German Bank Holiday, French Bank Holiday, Italian Bank Holiday
- All Day, China - Bank Holiday
Thursday, May 2
- 8:30 a.m. U.S. - Unemployment Claims, Preliminary Nonfarm Productivity q/q, Preliminary Unit Labor Costs q/q, Trade Balance
- 8:45 a.m. Canada - BOC Governor Macklem Speech
- 10:00 a.m. U.S. - Factory Orders m/m
- All Day, Japan – Bank Holiday
- All Day, China – Bank Holiday
Paul Rejczak
Stock Trading Strategist