VT Markets Weekly Market Report Good news looms over gold prices remain under pressure after rebound

Mondo Finance Updated on 2024-01-30

A review of last week's market movements.

Interest rate hikes: Last week, the world's major central banks announced their last interest rate decisions of the year, and the Fed's attitude was in line with investors' expectations. Powell said that the Federal Reserve has begun to discuss interest rate cuts, and the market is increasingly optimistic about the Fed's expectations that the Fed will cut interest rates next year, from the point of view of interest rates, the first interest rate cut next year will fall in March, but on Friday night New York Fed President Williams gave a different view, he believes that the market is currently too optimistic, all things considered, the most likely time to start cutting interest rates next year will be the second to third quarter.

Compared with the "dovish" of the Federal Reserve, the European Central Bank and the Bank of England have a completely different attitude towards interest rate cuts, although they also keep interest rates unchanged, but there is no forward-looking talk about next year's interest rate cuts, which means that these central banks may cut interest rates later than the Fed next year.

On the data front: The US November CPI data continued to decline on Tuesday, mainly in energy and education, further confirming that US inflation is still in a downward phase, and Thursday's retail sales data is also slightly higher than the previous month, out of a negative recession. Overall, last week's market was overshadowed by good news. Affected by this, U.S. stocks continued their strong trend last week, rising more than 2% on a weekly basis, while gold prices fell first and then rose, regaining their footing above $2,000 an ounce after the Federal Reserve's decision.

This week's highlights**.

* Last week's trend was like a roller coaster, when the CPI was announced, it was first homeopathic**, the weekly low came to $1975 ounce line, and the next day when the Federal Reserve announced the interest rate decision, swallowed back all the gains, although the volatility is large, but in fact** is still stable in a range, VT Markets analysis team**: Considering that the US GDP and PCE data to be released this week have a relatively small impact on the market, the volatility of gold prices is expected to decline, and it has not exceeded $2050 in ** Before the ounce, there is the possibility of falling back, and the operation is mainly high-altitude.

* Four-hour chart.

Here are some of the week's key events and data:

Tuesday, December 19

11:00 Bank of Japan interest rate decision.

Thursday, December 21

21:30 US Q3 GDP annualized QoQ final value.

Friday, December 22

21:30 U.S. November Nominal Core PCE YoY Rate.

Disclaimer: The market is risky, choose carefully!This article is for reference only and is not intended as a basis for trading.

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