EUR/USD 1.15338
0.017%
Gold 4078.99
0.044%
Oil 74.525
0.261%
USD/JPY 157.577
-0.105%
GBP/USD 1.34543
0.020%
GBP/JPY 212.013
-0.075%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
On August 5th, Kansas City Federal Reserve President Schmid stated, "The Fed needs a tighter monetary policy to restore inflation to its 2% target. The Feds current policy stance is not restrictive. Inflation is currently too high, which is worrying, and the Fed should not ignore it, even if it is caused by a supply shock. The recent easing of energy prices may be temporary. Investment in artificial intelligence is pushing up inflation, and the Fed should not ignore this."Federal Reserves Schmid: Im uneasy about the assumption that the inflation outbreak will be temporary. Our inflation problem isnt just about energy.Futures News, August 5th - According to foreign media reports, Malaysian palm oil futures on the Bursa Malaysia Derivatives Exchange (BMD) are likely to open lower on Wednesday morning, following the decline in external markets. Statements from Qatari and US officials boosted hopes for a diplomatic solution to the oil shipping issue in the Strait of Hormuz, causing oil prices to fall on Tuesday, closing at a three-week low. During Wednesdays electronic trading session, Brent crude futures fell further, coupled with a decline in Chicago soybean oil futures, which will drag down the early performance of Malaysian crude palm oil futures. An expected increase in Malaysian palm oil inventories is also unfavorable for prices. The Malaysian Palm Oil Board (MPOB) will release monthly data on August 10th. A survey shows that Malaysian palm oil exports in July will surge 14.8% month-on-month, production will increase by 7.4%, and inventories will rise to a five-month high. However, strong palm oil exports in July and the potential threat of a strong El Niño phenomenon to palm oil production in Southeast Asia will provide potential support for the palm oil market. Shipping surveyors estimate that Malaysian palm oil exports in July increased by 12.1% to 19.5% month-on-month.Federal Reserves Schmid: The recent easing of energy prices may be temporary.Federal Reserves Schmid: The job market appears to be broadly balanced.

Forecast for the price of gold: XAU/USD eases below the $1,804 barrier as Fed hawks back off due to weaker US inflation

Alina Haynes

Aug 11, 2022 11:58

 截屏2022-08-10 上午11.45.08_1024x576.png

 

US inflation-driven gains in the price of gold (XAU/USD) are fading as the metal declines to $1,790 on Thursday during the opening Tokyo session. The recent decline in the price of precious metals may be related to conflicting worries about the US Federal Reserve's (Fed) upcoming actions as well as Sino-American friction.

 

On Wednesday, the US Consumer Price Index (CPI) fell to 8.5% YoY in July, below the 8.7% consensus and the 9.1% reading from June. According to Reuters, US President Joe Biden stated on Wednesday that there are some indications that inflation may be decreasing after the US released its inflation data. In the coming months, there may be more challenges for us to overcome, Biden continued. US President Biden continues, "We still have work to do, but we're on track."

 

Following the CPI report on Wednesday, traders of futures linked to the Fed's benchmark interest rate reduced their bets on a third consecutive 75-basis-point raise at its policy meeting on September 20-21 and now see a half-point increase as the most likely scenario, according to Reuters.

 

Neel Kashkari, president of the Minneapolis Fed, recently stated that the Fed is "far, far away from declaring success" on inflation. Additionally, the decision-maker stated that he hasn't "seen anything that changes" the need for the Fed to raise its policy rate to 3.9% by year's end and to 4.4% by the end of 2023. Charles Evans, president of the Chicago Fed, said in another place that a recession would likely require unfavorable circumstances to occur. Also labeling inflation "unacceptably" high, Fed's Evans

 

Additionally, according to sources cited by Reuters, US President Biden is reconsidering his China tariff policy in light of Taiwan's response, which put the XAU/USD bulls on the defensive.

 

S&P 500 Futures print modest gains near 4,220 by press time against this backdrop after Wall Street rose and US Treasury yields were largely unchanged the day prior.

 

Moving on, the monthly Producer Price Index (PPI) for July and the weekly US Jobless Claims numbers may amuse gold traders. However, in light of recent risk-negative headlines, special focus should be placed on the qualitative variables.

Suggestion