Forex Marketz Daily Forex News – Fully Markets Update
Gold futures contracts traded fairly flat on Tuesday during the Asian trade session. Equities and risk on assets gained ground as financial trader sentiment recovered a bit.
Traders are monitoring the gradual reopening of the global economy and news that Japan was lifting their state of emergency was good for sentiment linked assets.
The dollar was also weaker but lingering tensions over Hong Kong and Venezuela limited losses for the yellow metal.
The popular spot gold futures contract, as of 12:55 am, was flat at $1,729.83 per ounce. The U.S. gold futures contract, for front end delivery, was down 0.2 percent to trade at $1,732.10 per ounce.
The spot palladium contract was up 0.6 percent and the spot platinum contract added 0.2 percent. The spot silver contract added 0.3 percent to trade at $17.14 per ounce.
The Japanese Nikkei 225 was up one percent and the MSCI index, with Japanese shares, gained 0.1 percent.
The U.S. dollar index, which measures the greenback against six other Forex assets, was down 0.2 percent. A weaker dollar makes the yellow metal less expensive to buy, store and insure.
Gold Traders Watch Economic Forecasts and Tensions
The Asian nation of Singapore, a key regional trade hub in the Asian and Pacific Rim, cut their gross domestic product (GDP) growth forecast for 2020. This is the third cut this year and due to the Covid-19 pandemic.
Singapore is bracing for a steep recession and possibly the worst that they have ever seen.
The foreign ministry in China, has defended the new regulations over Hong Kong. The City’s chief of security also defended the proposed new laws and described the pro-democracy protests as acts of terrorism.
In other news, a second Iranian flagged vessel, carrying fuel, has entered Venezuelan waters. The United States has warned that this flagrant ignoring of the law will not go unpunished.
