By FXEmpire.com
Analysis and Recommendations:
Gold moved up in today’s session, as investors begin to position themselves before this weekend’s political theatrics. Gold is trading at 1632.15 up 12.55 at this time. Gold has become the safe haven of choice at the moment. Also with the US dollar trading down, it makes gold a good buy at this time.
US inflation would have increased the deflation concern which led the metal to a sharp drop from its intraday high but the same has raised expectation for Fed to embrace fresh easing and helped the metal to revive. Equities are also having a tepid upside move ahead of the most eyed Greece election on June 17. The Euro at present is showing slight weakness against the dollar after the Spanish bond yield rose to the record high of 7.01%, an unsustainable level.
The market is expected to be dizzy enough as diversified comments are coming from the leading financial chiefs ahead of the highly anticipated Greece re-election and Fed meet. While the G-20 leaders are ready to infuse liquidity to contain the credit squeeze, severe strain might emerge after strange outcome of three elections this week end. France and Egypt are the two other countries having ballot creating nuisance in market. However, a coordinated attitude from central banks to provide liquidity may lead temporary support to the market. Gold is probably therefore taking the advantage out of it , however; the comments from the diplomats are still not convinced especially after the Fed let down the market expectation few days back. Hence, the splendid gain may be short-lived. Reports today may show the awful state of US industrial production and a feeble confidence which may lend support to gold in evening. On the other hand, US treasuries inflows might rise and that is supportive for dollar.
Monday most likely will be a very volatile day, so investors are moving to safe havens to park their money until election results and action and reactions have time to subside.
FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.
Economic Data June 15, 2012 actual v. forecast
|
Date |
Currency |
Event |
Actual |
Forecast |
Previous |
|
Jun. 15 |
JPY |
Interest Rate Decision |
0.10% |
0.10% |
0.10% |
|
GBP |
Trade Balance |
-10.1B |
-8.5B |
-8.7B |
|
|
EUR |
Employment Change (QoQ) |
-0.2% |
-0.2% |
-0.3% |
|
|
Manufacturing Sales (MoM) |
-0.80% |
1.00% |
1.90% |
||
|
USD |
NY Empire State Manufacturing Index |
2.3 |
13.0 |
17.1 |
Upcoming Economic Events that affect the CHF, EUR, GBP and USD
|
Date |
Time |
Currency |
Event |
Forecast |
Previous |
|
Jun 18 |
18th-22nd |
GBP |
45 |
44 |
|
|
Day 1 |
ALL |
||||
|
Jun 19 |
8:30 |
GBP |
3.0% |
||
|
9:00 |
EUR |
-2.4 |
|||
|
12:30 |
USD |
0.72M |
|||
|
12:30 |
USD |
0.72M |
|||
|
Day 2 |
ALL |
||||
|
Jun 20 |
6:00 |
EUR |
0.2% |
||
|
8:30 |
GBP |
-13.7K |
|||
|
8:30 |
GBP |
0-0-9 |
0-0-9 |
||
|
8:30 |
GBP |
8.2% |
|||
|
9:00 |
CHF |
-4.0 |
|||
|
14:30 |
USD |
-0.2M |
|||
|
16:30 |
USD |
||||
|
16:30 |
USD |
|
|
||
|
18:00 |
USD |
||||
|
18:15 |
USD |
||||
|
Jun 21 |
6:00 |
CHF |
1.33B |
||
|
7:00 |
EUR |
44.7 |
|||
|
7:00 |
EUR |
45.1 |
|||
|
7:15 |
CHF |
7.9% |
|||
|
7:30 |
EUR |
45.2 |
|||
|
7:30 |
EUR |
51.8 |
|||
|
8:00 |
EUR |
9.1B |
|||
|
8:00 |
EUR |
45.1 |
|||
|
8:00 |
EUR |
46.7 |
|||
|
8:30 |
GBP |
-2.3% |
|||
|
10:00 |
GBP |
-17 |
|||
|
12:30 |
USD |
386K |
|||
|
13:00 |
USD |
54.0 |
|||
|
14:00 |
USD |
4.62M |
|||
|
14:00 |
USD |
-5.8 |
|||
|
Jun 22 |
8:00 |
EUR |
106.9 |
||
|
All Day |
EUR |
||||
|
13:00 |
EUR |
-11.2 |
Click here for updated Gold News.
Originally posted here
