By FXEmpire.com
Analysis and Recommendations:
Gold has been trading sideways today, looking for some direction. The shiny metal is currently trading at 1615.95 up 2.05. Markets have been sending mixed signals today. Europe remains a disaster area, with no leadership or direction. The ECB and German’s Chancellor Merkel each having their own objections and plans for their own organizations.
Gold slightly changed after posting its biggest one day gain last Friday. Euro recovered from its two year lows against the dollar extending its last session’s gains. Investors speculated that European policy makers could provide decisive actions over the Euro zone crisis. Finance ministers of the G& held an emergency meeting on the Euro zone crisis with no results. At the same time, holdings of gold backed exchange traded funds have shown a third straight day gain reflecting revival of investor interest in bullion. Looking ahead, the key US FOMC meeting and the Greek elections are the upcoming events that investors have to closely watch out for.
Markets are keenly waiting for the Group of Seven Finance Ministers and Central bankers’ meet to be held later today for fresh cues to initiate fresh directional moves. Worries over Spain’s financial health played spoilsport on the market sentiments that were on a positive side during the morning session on the optimism that the leaders will adopt appropriate measures to tackle the persisting debt crisis in Euro Zone. Spain’s Treasury Minister comments that at current borrowing costs, financial markets are currently shut for the country, dragged down euro from its highest level in five days. Tracking weak euro, spot gold edged back though, it continued to consolidate near its recent high.
With the G7 conference having little success and little in the way of supportive statements and the ECB continuing to tell EU leaders, that fixing the EU economy was up to them and not the bank little positive news came from the EU.
While in the US, the services ISM came in above forecast, buoying the markets as investors returned to the dollar pushing the DI back up and the euro down.
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 for June 5, 2012 actual v. forecast
|
Date |
Currency |
Event |
Actual |
Forecast |
Previous |
|
Jun. 05 |
AUD |
Current Account |
-14.9B |
-14.8B |
-9.6B |
|
AUD |
Interest Rate Decision |
3.50% |
3.75% |
3.75% |
|
|
EUR |
Retail Sales (MoM) |
-1.0% |
-0.1% |
0.3% |
|
|
EUR |
German Factory Orders (MoM) |
-1.9% |
-1.0% |
3.2% |
|
|
Building Permits (MoM) |
-5.2% |
-2.0% |
4.9% |
||
|
CAD |
Interest Rate Decision |
1.00% |
1.00% |
1.00% |
|
|
USD |
ISM Non-Manufacturing Index |
53.7 |
53.5 |
53.5 |
Upcoming Economic Events that affect the CHF, EUR, GBP and USD
|
Date |
Time |
Currency |
Event |
Forecast |
Previous |
|
Jun 6 |
|||||
|
8:30 |
GBP |
55.8 |
|||
|
10:00 |
EUR |
2.8% |
|||
|
11:45 |
EUR |
1.00% |
1.00% |
||
|
12:30 |
EUR |
||||
|
14:30 |
USD |
||||
|
18:00 |
USD |
||||
|
23:01 |
GBP |
-3.3% |
|||
|
Jun 7 |
7:00 |
CHF |
235.6B |
||
|
7:15 |
CHF |
0.1% |
|||
|
8:30 |
GBP |
53.3 |
|||
|
11:00 |
GBP |
325B |
|||
|
11:00 |
GBP |
0.50% |
0.50% |
||
|
12:30 |
USD |
383K |
|||
|
14:00 |
USD |
||||
|
Jun 8 |
8:30 |
GBP |
-1.5% |
||
|
8:30 |
GBP |
3.5% |
|||
|
12:30 |
USD |
-51.8B |
|||
|
14:00 |
USD |
Government Bond Auctions
Date Time Country
Jun 06 09:30 Germany
Jun 06 09:30 Portugal
Jun 06 14:30 UK
Jun 07 00:30 Japan
Jun 07 08:30 Spain
Jun 07 08:50 France
Jun 07 09:10 Sweden
Jun 07 15:00 US
Jun 08 10:00 Belgium
Jun 08 15:30 Italy
Click here for updated Gold News.
Originally posted here
