Don Hemming: Gold Enters A Narrow Range Of Shocks

Last Friday, financial markets: last week, US economic data continued to show signs of downturn in the week. At the same time, the aggravation of Ukraine's situation helped to lower the US Treasury bond rate. The US dollar fell against a basket of currencies, especially the yen and CHF in the risk aversion currencies, showing stronger liquidity. P

The US dollar's downward trend dragged down the US dollar index by 0.2%, ending 81.45 on Friday.

On the precious metals market, spot gold fell sharply on Friday, with a drop of over $20 in the intraday trading, followed by a decline in the stock market and the support of risk aversion.

International spot gold fell 8.40 U.S. dollars on Friday, down 0.64%, to 1304.70 U.S. dollars / ounce; spot silver closed at 19.55 U.S. dollars / ounce.

Crude oil rose sharply under the geopolitical crisis, while the US industrial output recorded the highest in five months in July, boosting the demand outlook, and the US crude oil rose nearly 2%.

NYMEX crude oil futures rose 1.77 U.S. dollars, or 1.85%, at 97.35 U.S. dollars / barrel.

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< p > this week, the financial market is still going on. Europe and the United States will issue important inflation and < a href= "http:// www.91se91.com/news/index_c.asp" > PMI data < /a >. The Federal Reserve and the Bank of England will publish the minutes of the monetary policy conference. Of course, the most serious events are undoubtedly the annual meeting of Jackson Holzer and the central bank. The meeting will gather Federal Reserve officials, top economists and top officials of the international central bank.

The market released less economic data and expected the market will be relatively light, but still does not exclude the impact of geopolitical risk on the market.

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Since the P < > a href= "http:// www.91se91.com/news/index_c.asp" > the financial crisis < /a >, the Jackson Holzer meeting has become the harbinger of a href= "http:// www.91se91.com/news/index_c.asp" > the Federal Reserve "/a" some of the most significant policy changes.

In 2010 and 2012, then fed chairman Bernanke hinted at the new bond buying program, which pushed the Federal Reserve's assets and liabilities to a record $4 trillion and 430 billion. Two years ago, Michael Woodford, an economist at Columbia University, called for a "forward-looking guidance" to monetary policy, which was actually followed by the United States and the European Central Bank.

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The P Jackson annual meeting of the global central bank of the year will be held in Wyoming, USA from Thursday to Saturday (from August 21st to 23rd). The theme is "reassessing the dynamics of the labour market", which is also the primary concern of the Federal Reserve Chairman Yellen.

Yellen and ECB President Delagi Du will deliver a speech at the annual meeting on August 22nd (Friday).

Known as the barometer, the Jackson Hole global central bank annual meeting will provide clues for the two central banks in Europe and the United States to make monetary policy in.

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< p > Wall Street economists generally expect that Yellen will explain the view that her job market is still weak. She will also review the economic situation and interpret a series of data statistics highlighted earlier this year.

Taking into account the statement made by the Federal Reserve on Thursday (August 14th) in Washington, Yellen's speech entitled "labor market", but she would not answer questions from listeners.

The market expects that the Fed's market moves are expected to be more dovish than Fed officials' views.

Yellen does not have to allocate market expectations, so her speech may focus more on the theme of the day's booking.

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This week's focus on P also includes US inflation data and the Federal Reserve's latest meeting on monetary policy on Wednesday. If the data is higher than expected, the data will push the Fed's interest rate hike up, which is good for the US dollar.

The minutes released by the Federal Reserve meeting in July 20th will also trigger investors' close attention to the timing of the Fed's rise in interest rates, and worry about the trend of the bond market in recent weeks.

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< p > other markets, the minutes of the August meeting of the Bank of England will also attract the attention of the market.

The UK's recent economic data has been weak, and inflation reports mean that the Bank of England's first interest rate rise may be later than market expectations.

In fact, the Bank of England lowered its forecast of a balanced unemployment rate, which shows that economic growth has been resisted, including the continued strong sterling exchange rate.

As the market expects the first time to raise interest rates to postpone, the pound may go down.

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