Forex Marketz Daily Forex News – Fully Markets Update
Gold future contracts edged higher this morning during the morning Asian trade hours. The yellow metal hit a six month low during the previous session and the dollar moved lower from a eleven month high price point.
As of 1 am GMT, the widely traded spot gold futures contract (XAU/USD) was up by 0.1 percent from its previous close. It was fetching $1,268.24 an ounce. Yesterday the bullion closed at its December 19 low at $1,260.84 an ounce.
U.S. gold futures, for August delivery, were flat this morning. It was virtually unchanged at $1,270.20 per ounce.
Looking at the U.S. dollar index, which gauges the U.S. currency in a basket of six other Forex majors, was trading at 94.818. The index was at 95.529 at the close of yesterday’s session. This was the greenback’s highest price level since July 2017.
Gold Traders watch Economic Data and Trade War Developments
Looking at economic data out of the United States, the number of Americans filing for unemployment benefits shockingly fell last week. This suggests a tightening U.S. jobs market.
The war of words between China and the United States increased. They were capricious and heightened the likelihood of a looming trade war.
Overnight, China’s commerce ministry accused the United States of being “capricious” over trade. He warned that the interests of U.S. workers, especially farmers, will be hurt by the U.S. Administration’s use of “big sticks.”
Looking at regional central bank news, Bank of Japan board member Yukitoshi Funo said that the BOJ needs to be patient. They need to continue its strong monetary easing. This is thanks to sticky low inflation well below the central bank’s two percent price target.
