Gold price rose to a fresh monthly high of $1832 on Thursday. The recent bullish move supported by the renewed coronavirus surge in many parts of the world and a sharp rise in U.S inflation. In the short-term If the bullish momentum continues the next upside levels to watch $1836/40.
Asian stocks traded mixed following the release of mixed Chinese economic data. On the other hand, Wall Street ended slightly lower on Wednesday driven by virus variant worries and higher inflation.
Crude Oil prices extend losses on Thursday after some reports said the U.A.E. has said no deal has been reached with OPEC+ producers and that talks are ongoing and weaker-than-expected US crude inventory data. On Wednesday, the EIA data showed the oil inventories dropped by 7.897 million barrels in the July 9th week.
In the currency market, the British pound slips to a fresh session low of 1.3820 after the release of a weak UK unemployment report. The UK unemployment rate increased by 4.8% in May, compared to market forecasts of 4.7%
The Safe-haven metal trading steady above $1830 on Thursday. Overall, the momentum remains bullish throughout the Asian session.
On the data front, the Chinese GDP rose by 1.3% from the first to the second quarter. Compared to the median estimate of 1.2%. While the Industrial production in China increased 8.3% in June of 2021, compared to the market forecasts of a 7.8% rise.
Moving ahead today, the important events to watch:
US – Jobless claims: GMT – 12.30
US – Philly FED Manufacturing Index: GMT – 12.30
Worldwide, more than 188 million people have been confirmed infected and more than 4.05 million have died. The United States has confirmed over 33.8 million cases and has had more than 608,000 deaths from COVID-19, the highest totals in the world.
EURUSD: Technically the overall trend still looks bearish after the last few week's selling pressure. If the pair breaks and closes below 1.1770 the next important support at 1.1740/10. On the other upper side, the next immediate resistance around 1.1890.
The important levels to watch for today: Support- 1.1810 and 1.1770 Resistance- 1.1860 and 1.1890.
GOLD: The yellow metal trading near the resistance area $1832/34. Any break and close above this level will open the doors to $1840/45. On the flip side, the immediate support around $1820.
The important levels to watch for today: Support- 1822 and 1815 Resistance- 1836 and 1840.
Quote of the day: “No other commodity enjoys as much universal acceptability and marketability as gold.” –Hans F. Sennholz.
Read more- https://gulfbrokers.com/en/daily-market-report-349