Gold extends its downtrend again as it gets closer to $1,950.
The gold futures contract lost 0.80% on Wednesday, November 8 as it extended its Tuesday’s decline of 0.8%. On Tuesday it broke below the recent trading range on strengthening U.S. dollar, among other factors. On Friday it traded as high as $2,012 and yesterday the daily low was at around $1,955. Recently gold rallied on increasing global geopolitcal risks, interest rates fears, among other factors.
On October 6 gold reached new local low of $1,823.50. It was the lowest since early March, but the market bounced after monthly jobs data release, among other factors. Earlier gold kept selling off on economic data releases, strong U.S. dollar. On Friday gold was the highest since late July.
In late August gold price was rallying amidst reduced pressure for the further monetary policy tightening and on Septemeber 1 it reached a local high of $1,980. In May gold retreated from medium-term high of $2,085.40 and in early March it was selling off after the Fed Chief Powell’s hawkish testimony. Then it rebounded from a local low of around $1,813.
Today gold is slightly extending its downtrend again as we can see on the daily chart (the chart includes today’s intraday data):
The gold price is 0.3% lower as it is trading closer to the $1,950 level. What about the other precious metals? Silver is 0.6% lower, platinum is 0.2% lower and palladium is 1.6% lower. So the main precious metals’ prices are lower this morning.
Today we will get a speech from the Fed Chair Powell at 2:00 p.m. There will also be the Unemployment Claims release at 8:30 a.m.
Below you will find our Gold, Silver, and Mining Stocks economic news schedule for the next two trading days (EST Timezone).
Thursday, November 9
- 8:30 a.m. U.S. - Unemployment Claims
- Tentative, U.S. - Mortgage Delinquencies
- 12:30 p.m. Eurozone - ECB President Lagarde Speech
- 1:01 p.m. U.S. - 30-y Bond Auction
- 2:00 p.m. U.S. - Fed Chair Powell Speech
- 7:30 p.m. Australia - RBA Monetary Policy Statement
- All Day, Eurozone - ECOFIN Meetings
Friday, November 10
- 2:00 a.m. U.K. - GDP m/m, Preliminary GDP q/q
- 7:30 a.m. Eurozone - ECB President Lagarde Speech
- 7:30 a.m. U.S. - FOMC Member Logan Speech
- 10:00 a.m. U.S. - Preliminary UoM Consumer Sentiment, Preliminary UoM Inflation Expectations
- 2:00 p.m. U.S. - Federal Budget Balance
- All Day, Eurozone - ECOFIN Meetings
Paul Rejczak
Stock Trading Strategist