Weekly

July 4th

Today's amplitude range

In the end, the gold market failed to rise because of the embargo of the seven countries, but instead succumbed to the central bank's active interest rate hike. Interest rate reflects the cost of holding gold, but inflation lurks behind the interest rate increase.

The phenomenon of rising, and the excessive interest rate hike are the conditions that will trigger the economic downturn; The price of gold still fell below 1780 at the bottom of last Friday, rebounding sharply by more than 25 USD, and

A double bottom was formed in the week of mid-May, and support has been seen in the short term, so we can wait for low speculative buying. Today's suggested volatility is $1803 to $1822.

Yi Gang, governor of the People's Bank of China, said last week that China's inflation is relatively stable, and the PBOC's work will maximize the price stability as a prerequisite, and adopt a looser currency.

The policy continued to support the economic recovery, and the mainland's rescue signal was obvious. In addition, the mainland announced the relaxation of the epidemic control and isolation measures, and the number of days of centralized quarantine for entry was reduced by nearly half to seven days.

Looking forward to the market, China's economy will gradually recover, and it will also drive Hong Kong stocks up, with the highest increase of nearly 22,500 points. Unfortunately, the Fed's active interest rate increase has narrowed the increase of Hong Kong stocks. In a week's summary,

Hang Seng Index closed at 21,859 points, up 140 points or 0.64%, but lost at 22,000 points.

Bank of England Governor Bailey said that the salary increase in the UK reflects inflationary pressure, and the wage increase should have reflected the productivity increase, but the wage growth level in the UK

However, it can't correctly reflect the degree of economic growth, and policies will be formulated to suppress the salary increase caused by inflation. On the other hand, European Central Bank President Lagarde said that ultra-low inflation

The times are gone forever, and it has been clearly indicated what may happen in July. The news that Lagarde raised interest rates early in July and the Bank of England's salary policy made the market uneasy,

In addition, there are reports in the market that restricting the import of Russian natural gas failed to force Putin to withdraw his troops from Ukraine, but it will cause the economic recession in Europe. Last week, the three major stock markets in Europe

The DAX index of Germany fell by 2.33%. Paris CAC index fell by 2.34%; Britain's FTSE 100 index fell 0.56%.

The COVID-19 outbreak cut off the whole supply chain, and the war with Russia and Ukraine caused the energy price problem, which finally made the inflation in the United States worsen. Federal Reserve Chairman Powell was on the satellite.

It is said that the bureau will use all tools to reduce the currency very firmly, suggesting that the means of raising interest rates in the future will not be softened, and the market is worried that the actions of the Federal Reserve will make the economy retrogress;

In a week, all three major indexes of Wall Street fell, and the Dow Jones index fell by 1.28%. The S&P 500 index fell 2.27%; The Nasdaq Composite Index fell 4.19%. Shangxing

The seventh summit of the Group of Seven industrialized countries announced a ban on the import of Russian gold. The news of reduced supply briefly stimulated the gold market to rise. The highest price of gold last week was $1,841.1, but the news was digested.

After that, the price of gold began to fall, and Federal Reserve Chairman Powell expressed his determination to raise interest rates to suppress inflation, suggesting that this newspaper's annual interest rate hike will not be soft, and the price of gold has been obviously under pressure recently.

Fell, reaching a low of $1,784.6, and finally closed at $1,809.5. In a week, the price of gold fell by $17.8.

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