Gold is back at $1,480
Yesterday, the US released the Industrial Sector Index of Industrial Activity (PMI) and the data turned out to be bad. The PMI index reached its lowest level since 2009 due to the confrontation between China and the United States, because on Tuesday traders bought protective assets more actively. The dollar fell sharply against major currencies, as traders fear a worsening situation: this Friday the US will report on the situation on the labor market and indicators may turn out to be disappointing.
In connection with these events, European stock indices fell on average by -1%. Futures for US stock indexes also declined: E-Mini S&P 500 fell by -0.4%, Dow Jones – by-1.2%.
China continues to celebrate National Day.
11:30 (GMT+3) The UK published the September index of business activity in the construction sector. The indicator of 43.3 instead of the expected 45 did not please the markets. A decrease in business activity in the construction sector could negatively affect the country’s economy.
15:15 (GMT+3) The United States will provide preliminary data on the number of people employed in the non-agricultural sector in September. The expected figure is 140 thousand, but it may turn out to be lower, as the PMI index fell a record this month.
17:30 (GMT+3) The United States will publish information on crude oil reserves. Here, traders expect stocks to fall by more than -5 million barrels, based on forecasts from the American Petroleum Institute.
Oil. Yesterday, oil rose after a maximum quarterly fall, but again declines on Wednesday. In the morning, WTI crude oil is $53.7. Brent futures are trading near $58.6.
Gold. Shielding metal has strongly regained its position after weak US and UK statistics. Gold is down 0.2% on Wednesday and is trading near $1,481.
Currency. On Tuesday, the DXY dollar index overcame a maximum over the past 2 years at 99.66 and is adjusted on Wednesday. In the morning, DXY is 99.4 against a basket of major currencies.
On October 2, the dollar is getting cheaper -0.06% against the yen. In the morning, the pair USD/JPY is trading at 107.6.
The US dollar fell against the franc yesterday. Today, the USD/CHF pair is gaining 0.7% and is trading near 0.9997.
Yesterday, the euro (EUR) rose slightly against the dollar, but it is getting cheaper on Wednesday. In the morning, the EUR/USD pair drops by -0.2 and is trading near 1.0909.
Pound Sterling (GBP) continues to fall in price amid the approaching Brexit. On October 2, the GBP/USD pair is trading around 1.2238.
Cryptocurrency Bitcoin (BTC) is getting cheaper again on Wednesday but remains above the $8k mark. On Wednesday, BTC is trading around $8,265. In the morning, Ethereum (ETH) is trading near $176.7. The price of Litecoin (LTC) is growing at 1.5% and is $56.5.
(Interval one day)
Important. This article does not contain any calls for transactions or trading recommendations. Traders are responsible for their decisions. The judgments presented here are the personal opinions of the author.