Gold weakened slightly at the beginning of the week
- Fundamental analysis:
Gold lost another $30 on Friday, bringing the total weekly loss to nearly $80, marking gold's biggest weekly loss in nearly a year.
Fed officials last week maintained a hawkish stance, arguing that keeping interest rates high for an extended period of time is necessary to bring inflation below 2%. Recent US economic data was also better than expected, adding pressure to Gold
Today we have the US ISM Manufacturing PMI data for September, due out at 9:00 p.m. In addition, Fed Chairman Powell's speech at 10:00 p.m. may provide clues about the possibility of an interest rate increase. These are all events that can cause Gold prices to fluctuate strongly
- Technical analysis:
The sellers completely control the current market with fast, strong and decisive declines.
Currently the buyer presence is very weak, buying a boatload of boats would be very risky
Gold lost another $30 on Friday, bringing the total weekly loss to nearly $80, marking gold's biggest weekly loss in nearly a year.
Fed officials last week maintained a hawkish stance, arguing that keeping interest rates high for an extended period of time is necessary to bring inflation below 2%. Recent US economic data was also better than expected, adding pressure to Gold
Today we have the US ISM Manufacturing PMI data for September, due out at 9:00 p.m. In addition, Fed Chairman Powell's speech at 10:00 p.m. may provide clues about the possibility of an interest rate increase. These are all events that can cause Gold prices to fluctuate strongly
- Technical analysis:
The sellers completely control the current market with fast, strong and decisive declines.
Currently the buyer presence is very weak, buying a boatload of boats would be very risky
China Manufacturing PMI data released over the weekend, showed positive improvement but did not provide any support for Gold prices. China's NBS Manufacturing PMI for August rose to 50.2 from 49.7 previously, exceeding expectations of 50.0.
Additionally, the non-manufacturing PMI rose to 51.7 from 51.0 previously, surpassing the market consensus of 51.5.