Weekly

Last week, the gold market rose first and then fell, and the focus of the market was on the performance of the labor market in the United States. As the labor market showed signs of weakening in April, the Federal Reserve's step of reducing interest rates was once ignited last month, which caused the gold price to rise sharply for two weeks. If the number weakens again in May, it will definitely hit the dollar and boost gold, and the market has long been wary, thus boosting the gold price performance at the beginning of the week.

At the beginning of the week, the price of gold improved, stabilized above 2300 and climbed step by step. On Wednesday night, small non-agricultural farmers were lower than expected, which helped the price of gold to climb further. On Friday morning, it rose to a full-week high of 2387.74. On Friday night, there was an unexpected dramatic development. In the first quarter, the price of gold surged by $400, which was mainly supported by the central bank's buying. However, the data on Friday showed that the Bank of China stopped the operation of increasing its holdings of gold for 18 consecutive months in May, and the price of gold began to reverse its decline in the afternoon, waiting for non-agricultural data. On that night, the number of non-agricultural workers reported 272,000, far exceeding expectations and reversing the impact of the bad figures in April.

The labor market did not continue to deteriorate, which greatly suppressed the price of gold. Soon after the data was released, the price of gold fell below 2,330, and fell to the low level at the beginning of the week. After that, it fell more and more, and continued to fall near the close of Europe. Finally, it fell below the 2,300 mark and closed at the last low of 2,277, which was slightly supported by the rebound.

This week, both the fundamentals and the technical aspects have important implications for the mid-term performance of the gold price. Technically, if the support of 2277 falls, it may further extend the room for taking back. This week's CPI and the Federal Reserve's interest rate cut are also particularly important. If inflation remains high, the US interest rate cut plan will be delayed, and the expected interest rate cut will remain unchanged. However, the bitmap may change, and it may not be able to cut interest rates three times this year. The bitmap will re-release the latest interest rate cut process to the market, which will definitely lead to the directional development of market conditions.

Let's refer to each other in this market. And I wish you all a happy Dragon Boat Festival. During the Dragon Boat Festival, Mingde maintained normal services in trading, customer service and deposit and withdrawal operations.