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The Fed cut interest rates in June, and gold rose sharply?
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Hello everyone, today XM Foreign Exchange will bring you "[XM Foreign Exchange Official Website]: The Federal Reserve cut interest rates in June, and gold rose sharply?" Hope it will be helpful to you! The original content is as follows:
The calm before the holiday is like the silence before the storm. The entire market is on high alert, whether it is the stock market, the foreign exchange market, or the gold market, are waiting for a new round of breakthroughs. With the evolution of time, it is inevitable that the trends of various categories will break the volatile pattern.
As as analyzed the day before, gold prices first look at the rebound at the beginning of the week, with upward pressure at 3330 and 3350. The beginning of the week has been effectively reached so far. Looking at the range, it does not look at the unilateral continuation too much. This is our clear idea. After the gold price rebounds, it falls and retreats again, and the trend is in line with expectations.
The three major U.S. stock indexes continued to rebound yesterday, but www.xmserving.compared with the previous few days, the rebound strength has slowed down significantly and there is little room for it. Whether it can stabilize market sentiment cannot be confirmed. We still need to observe the subsequent development of U.S. stocks.
The US dollar index fell sharply on Monday, rebounded stably yesterday, and maintained a rebound this morning, with weak strength, and the US index is still in a state of panic. When the price hovers at a low level for a long time, it cannot be confirmed that it has reached the end, which means that the US dollar index is still likely to fall, so this point needs to be paid attention to.
At present, the entire financial market and even the global market have not yet recovered from the previous tense trade situation. Fortunately, liquidity has stabilized, but under the influence of the trade stick, there is a significant gap between the expected economic growth rate and the reality, and this gap will only become larger and larger.
Assembled into the economies of various countries, the expected growth rate is also intensifying, and there is high uncertainty in future development and growth. To be prepared for the difficulty of economic recovery, diversified asset allocation is very necessary.
According to Bloomberg, yesterdayTrump signed an executive order to alleviate the problem of superimposed tariffs on automobiles and allow imported cars to exempt separate tariffs on aluminum and steel, which to some extent relieves the cost pressure on automakers and their upstream and downstream industries.
U.S. www.xmserving.commerce Secretary Lutnik said yesterday that the United States has reached a trade agreement with a country, but details cannot be released to the public at present.
The market speculates that the first country to reach a trade agreement may be India or South Korea. Of course, it doesn’t matter which one is important. The conclusion of the first trade agreement can play a positive role. The concessions between each other will not worsen the trade situation. This is good news.
What the entire market is most concerned about is whether a trade agreement between China and the United States can be reached. This is the focus, because this affects the entire market sentiment and lasting impact, and the rest can only be temporary impact.
From the data perspective, yesterday it was announced that the number of job vacancies in the United States in March was lower than expected, the consumer confidence index was lower than expected and hit a new low in the past five years, which is directly related to tariffs, and such data also increased the probability of the Federal Reserve's interest rate cut in June.
Today's market will usher in the number of American ADP (small non-farm) employment in April.
The US real GDP in the first quarter, the above data needs special attention.
The gold price remained at the 3300-3350 area in the previous two days, which was in line with our expectations. Today, it is still running above 3300, but the short-term rise is weak, and further retracement is not ruled out. Two technical support below should be paid attention to 3290 and 3280, and there is little room to look down.
In general, gold prices have remained at high levels in recent days, and while accumulating momentum, we are also waiting for a new round of breakthroughs. This breakthrough is more inclined toward the upward trend. After all, the market crisis has not yet been lifted, and the prospects for economic growth are unclear. The factors that support the rise of gold prices are that we only maintain the idea of low-to-long bullishness.
The May Day holiday will be www.xmserving.coming tomorrow, and the internal trading ends until this afternoon (no night trading). There will be major changes every holiday, and this time may be no exception. Friends participating in internal trading must control their positions, and risk control is the first priority.
(The above sharing is purely personal opinion and does not constitute practical operation suggestions. Financial management is risky, and you must bear the profit and loss at your own risk)
The above content is all about "[XM Forex Official Website]: The Federal Reserve cuts interest rates in June, and gold rises sharply?" is carefully www.xmserving.compiled and edited by the editor of XM Forex. I hope it will be helpful to your trading! Thanks for the support!
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