|Day's Range||1,506.30 - 1,519.70|
(Bloomberg) -- Gold and silver rallied after a strike against Saudi Arabian oil facilities raised the possibility of retaliatory U.S. military action in the Middle East, with investors seeking haven assets at the start of a week that’ll also see critical policy decisions from central banks including the Federal Reserve.Bullion jumped more than 1.5% as investors gauged the ramifications from the assault against the world’s biggest crude-processing facility in Abqaiq and the kingdom’s second-biggest oil field in Khurais. Secretary of State Michael Pompeo blamed Iran for the disruption; that charge was rejected by Tehran.Gold hit a six-year high this month as slowing growth and the U.S.-China trade war drove central bank easing, with geopolitical tensions playing a secondary role aiding prices. After reducing rates in July, the Fed is poised to cut again at its Sept. 17-18 meeting. Following the strike over the weekend, President Donald Trump said the U.S. is “locked and loaded depending on verification” that Iran staged the attack, raising the specter of a military response.“This is a major facility that’s been attacked and if there’s any further escalation, then the gold price will rally harder,” David Lennox, an analyst at Fat Prophets, said by phone. “I don’t know what the U.S. will do: they’re locked and loaded,” he said, adding Trump is an “unknown quantity.”Spot bullion climbed as much as 1.6% to $1,512.14 an ounce and was at $1,503.88 at 6:59 a.m. in London, while silver advanced as much as 3.2% to $17.9938 an ounce. Platinum and palladium also rose.Heading into this week, bullion holdings in exchange-traded funds had shrunk on signs that relations between Beijing and Washington were at last starting to thaw. The holdings fell 17.2 tons last week, the biggest weekly loss in tonnage terms since March 1, but they’re still near the highest level since 2013.“Gold and silver should be significant beneficiaries of the expected rush to safety, and the impending rounds of central bank rate cuts this week,” Jeffrey Halley, a senior market analyst at Oanda Corp., said in a note. “A continued escalation of tensions, or a move into outright hostilities in the Middle East, could see a $1,600 handle sooner rather than later.”To contact the reporter on this story: Ranjeetha Pakiam in Singapore at firstname.lastname@example.orgTo contact the editors responsible for this story: Phoebe Sedgman at email@example.com, Jake Lloyd-SmithFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Investing.com - Gold Prices jumped on Monday in Asia after a strike against two Saudi Arabian oil facilities heightened tensions in the Middle East and boosted safe-haven demand.
The market seems to be seeking a balance inside $59.29 to $62.64. Trader reaction to the upper and lower levels of the major retracement zone will likely determine the next major moves
We’re likely to be in a momentum driven market from the opening today so main tops and retracement zone levels are not likely to be that important initially in the session. Once the markets calm down and traders learn more about the timing of the repairs then traders will become more concerned over support and resistance.
Noelle Acheson argues that bitcoin’s volatility is intrinsic and is unlikely to diminish with increased liquidity – and that’s not a bad thing.
Gold traders will also be watching Wednesday’s Fed interest rate and monetary policy decisions. A 25-basis point rate cut is widely expected, however, traders will be more interested in how Fed policymakers feel about a December rate cut.
The S&P; 500 rallied significantly during the week, reaching towards the highs yet again. As we head into the weekend, it looks like a breakout is imminent, but we may get the short-term pullback between now and then to build up momentum.
The Silver markets initially tried to rally during the week but then found a lot of resistance at the $18.50 level. We rolled right back over and formed a very bearish looking candle for the week.
The Silver markets fell during the trading session on Friday to test a significant uptrend line, and at this point is going to be very interesting to see if we can hang on. That being said, we are obviously rotating quite a bit.
Gold has been benefiting from the US-China trade war. However, some observers, such as Jim Cramer and Citigroup, disagree on what's in store for gold.
Based on the early price action and the current price at 3019.00, the direction of the December E-mini S&P; 500 Index the rest of the session on Friday is likely to be determined by trader reaction to the uptrending Gann angle at 3019.00.
Investing.com - Gold prices gave up their gains after rallying following the European Central Bank’s (ECB) decisions to cut rate and promise quantitative easing.
The crude oil markets have pulled back a bit during the trading session again on Thursday, as we continue to chop around overall. Crude oil has looked a very negative, but at this point we are trying to form some type of wedge. Even if we do break down from here, there are a lot of support levels underneath.
Natural gas markets initially fell during the trading session on Thursday but turned around at the $2.50 level to form a bit of a hammer midday. Ultimately though, this is a market that is struggling at the 200 day EMA.
Gold markets rallied initially during the trading session on Thursday, as we continue to see a lot of choppy behavior in the precious metals markets. The ECB had an interest rate decision and that of course has an influence on what happens with gold, and although they did cut rates, they perhaps didn’t cut them far enough.
The British pound initially fell during the trading session on Thursday, breaking below the 50 day EMA before rallying again. Quite frankly, this is a market that is all over the place and it could continue to be very difficult to trade.
The Euro went back and forth during the trading session on Thursday as the ECB announcement came out with the interest rate cut and of course the bond buyback program starting back up.
The Australian dollar has rallied again during early trading on Thursday, as we continue to find the same area of selling pressure. At this point, it looks very likely that the market will continue to be very noisy which makes quite a bit of sense as the Australian dollar is very sensitive to the US/China trade situation.
Based on the early price action and the current price at 3009.25, the direction of the September E-mini S&P; 500 Index the rest of the session on Thursday is likely to be determined by trader reaction to the uptrending Gann angle at 3002.25.
Global markets rise on trade hopes and stimulus plans, the S&P; 500 is striking distance from new all-time highs.
Too many variables makes me think we’ll see a two sided trade with a bias to the downside because of improving trade conditions.