Weekly

May 3 rd

Today's volatility range:

The dovish remarks made by Federal Reserve Chairman Powell after the announcement of the interest rate decision made the price of gold rise, but keeping up with the ideal economic data released and Biden's new economic plan stimulated the dollar to go higher, which significantly pressured the price of gold.

This week, there are US non-agricultural data, which is expected to favor the data, which is unfavorable to the gold market in the short term.

Seeing that last Friday's volatility was only US$ 10, investors have a strong wait-and-see attitude, which may fluctuate within a narrow range before Wednesday. Today's suggested volatility is between 1764 and 1777.

Looking back over the past year, the price of gold broke through the record high of US$ 2,075 in August last year, but the closing price last week was almost in place, which was significantly worse than other investment tools.

While the Federal Reserve was still printing money, inflation was inevitable, and gold has always been a traditional investment tool against inflation, so it should not be displayed like this.

Recently, the price of gold seems to have a tendency to copy the trend of last year, and April is the first time since this year that there has been a monthly increase. This time, non-agriculture may provide a long time to enter the market, especially a golden opportunity that has dropped by nearly 1680.

India's COVID-19 epidemic continues to deteriorate, with the number of newly added cases exceeding 400,000 on Friday, while the average number is increasing by more than 360,000. The two figures once again set a record after the global virus pandemic, and the situation is worrying!

The Indian government estimates that the national epidemic may not peak until mid-May. In the spirit of humanity, many western countries, even China, which has recently suffered from the border conflict, have offered assistance to India.

India's epidemic also indirectly affects the global economy.

In addition to being a populous country, India is the fifth largest economy in the world. The epidemic not only hits India's spending power, but also because India is one of the members of the global supply chain.

The continuous flight ban under the epidemic will inevitably lead to a supply gap. Under the global integration, it is difficult for the international community to be immune to it.

Standard & Poor's estimates that India's economy will face permanent cumulative losses due to the Covid-19 outbreak, which is estimated to be 10% of its gross national product, and will affect the whole world.

Tightening social measures and international flight ban will drag down the recovery of global consumer retail and airport industries.

Last week, the news of favorable venture capital investment in the United States was endless.

In the early morning of Wednesday, the Federal Reserve announced that it would maintain the interest rate ceiling at 0.25%.

After the results of the interest rate discussion, Federal Reserve Chairman Powell said that this stage is not the time to start reducing the scale of debt purchase, because economic activity has just rebounded recently, it will take some time to reach the standard. Dove remarks imply that it is not time to collect water, which is conducive to asset inflation.

On the other hand, the US job market is also moving towards a positive trend, benefiting from the ideal progress of the vaccination program.

Last Thursday, the number of people who claimed unemployment benefits for the first time in the United States last week was 553,000.

Although the data was slightly worse than expected, it was already The lowest number since the epidemic, and the personal income of the United States in March took into account the government's epidemic assistance check, which increased by 21%, which was more conducive to further stimulating the economy;

On the same day, the gross domestic product (GDP) of the United States in the first quarter was as high as 6.4%, which was better than the market expectation. This strong growth was due to the German government that immediately joined hands with Congress to approve a huge epidemic stimulus plan worth $1.9 trillion after the rise of US President Biden's

In addition, U.S. President Biden attended the joint meeting of the U.S. Congress on the eve of his 100th day in office, and delivered a speech at the meeting, proposing a huge economic stimulus budget of 4.1 trillion U.S. dollars. We can see that the road of American recovery is about to enter a smooth road!

The ideal economic data released by the United States and Biden's new economic plan stimulated the dollar to go higher, and the gold market was under significant pressure.

Last week, the highest price of gold was 1,790 US dollars, and the lowest price was 1,756 US dollars. On Friday, it closed at 1,772 US dollars, without rising or falling every day, but falling by 5 US dollars every week.

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