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Lockheed Martin (LMT.N): Strong demand from U.S. and allied customers continues to grow.Lockheed Martin (LMT.N): Delivered a record 143 F-35 Lightning II fighter jets at the end of the third quarter.On October 21, French stock indices broke through their record closing highs set in May 2024, driven by strong earnings from French companies offsetting the countrys political turmoil and concerns about its credit outlook. Frances CAC40 index rose as much as 0.4% to 8,240.92 points on Tuesday, surpassing the high reached before President Macrons sudden announcement of the dissolution of parliament in mid-2024, which triggered market turmoil. Last week, Prime Minister Le Corny broke the parliamentary deadlock and successfully survived two votes of no confidence, paving the way for the budget debate and boosting the benchmark index. At the same time, the strong start to the earnings season also offset the negative impact of S&P Global Ratings unexpected downgrade of Frances sovereign credit rating last Friday - a move that highlighted the countrys fiscal difficulties. Christopher Danbic, senior investment advisor at Pictet Asset Management, said: "The downgrade has been fully digested by the market, and investors are focusing on the earnings reports of companies such as LVMH. What really drives the market is the earnings season that exceeded expectations and started well."On October 21, Jinao International (00009.HK) announced that it had received a court order from the High Court regarding the consent summons filed on October 6, 2025. The High Court ordered, among other things, the withdrawal of the First Petition and the cancellation of the hearing on October 15, 2025. The Company will update shareholders and potential investors on any developments through further announcements as appropriate. At the request of the Company, trading in the Companys shares on the Hong Kong Stock Exchange has been suspended since 9:00 a.m. on April 2, 2024, and will remain suspended until further notice.S&P 500 futures erased earlier losses to turn positive.

The XAU/USD pair attempts to regain $1,730 prior to Fed Chair Powell's address

Alina Haynes

Sep 08, 2022 16:58

截屏2022-06-07 下午5.14.07.png

 

Gold price (XAU/USD) gains bids to reestablish intraday high at $1,718 as the US dollar retreats ahead of Thursday's big events. In doing so, the yellow metal extends yesterday's recovery from the one-week low amid weaker yields and a mixed risk profile.

 

US 10-year Treasury yields extend Wednesday's fall from the highest levels since mid-June to 3.23%, which weighs on the US Dollar Index (DXY), which retreats to 109.50, extending yesterday's losses from the 20-year high.

 

The recent decline in yields may be attributable to the market's rush into bonds prior to the crucial European Central Bank (ECB) Monetary Policy Meeting and Fed Chair Jerome Powell's speech. However, rumors about Japan's probable involvement to preserve the home currency via the bond market appear to have depressed yields.

 

Due to Beijing's role as one of the world's largest gold buyers, contradictory news from China should have also contributed to the XAU/USD's comeback.

 

Three persons with knowledge of the situation were cited by Reuters when they reported encouraging news for China's property sector. Reuters said that "Zhengzhou pledged to restart all halted housing projects within 30 days by utilizing special financing, requiring developers to refund misused funds, and encouraging certain real estate businesses to file for bankruptcy."

 

Nonetheless, the risk-negative news regarding covid and Taiwan appeared to impose downward pressure on metal prices. The South China Morning Post (SCMP) previously reported, "Shenzhen lowers Hong Kong visitors' admission quota." Reuters' report that Taiwan and the United States are preparing for closer ties further dampens the mood.

 

While reflecting market sentiment, S&P 500 Futures post modest gains, whilst Asia-Pacific equities remain divided.

 

In conclusion, the ECB's 75 bps rate hike can limit a short-term decline in the XAU/USD before a new decline, if Powell sounds hawkish. As the ECB's ability to tighten monetary policy is restricted compared to the Fed's, the gold price is likely to remain in the bears' sights. Also, economic concerns originating from Europe are not ruled out, giving gold bears cause for optimism.


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