Gold Fundamental Analysis January 21, 2013 Forecast

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Updated: Aug 21, 2015, 06:00 GMT+00:00

Analysis and Recommendations: Gold was flat today trading at 1688.95. With the US fiscal cliff extended ongoing concerns over the US debt ceiling and

Analysis and Recommendations:

Gold was flat today trading at 1688.95. With the US fiscal cliff extended ongoing concerns over the US debt ceiling and spending and budget cuts continue to weigh on the markets as US lawmakers make no progress. On the other side of the coin positive eco data in the US and China show both economies recovering nicely. The U.S. dollar index is higher Friday on short covering. The greenback bears still have the overall near-term technical advantage and that’s an underlying supportive factor for the precious metals.

The crude oil bulls still have upside near-term technical momentum and that, too, is a bullish underlying factor for the metals markets. If crude oil prices continue to trend higher in the near term, that could spark fresh speculative money to flow into the raw commodity sector, including the precious metals.

Yesterday, gold surged to one-month high on weak dollar and renewed safe haven appeal on the back of positive US job and housing data. Gold skyrocketed again in earlier trading heading towards the 1700 price range today but then turned and declined on poor consumer sentiment in the US and returned to trade flat.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.

Economic Data January 18, 2013 actual v. forecast

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