Gold Weekly Fundamental Analysis, October 27-31, 2014, Forecast

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Updated: Aug 25, 2015, 03:00 UTC

Weekly Analysis and Recommendations: Gold closed the week in the red at 1230.90 falling almost $20 for the week. A report from the US Commerce Department

Gold Weekly Fundamental Analysis, October 27-31, 2014, Forecast

Weekly Analysis and Recommendations:

Gold closed the week in the red at 1230.90 falling almost $20 for the week. A report from the US Commerce Department showed new home sales to have inched up 0.2% to an annualized rate of 467,000 in September from the revised August rate of 466,000. Economists expected new home sales to drop to a rate of 460,000 from the 504,000 originally reported for the previous month.

In economic news from eurozone, German consumer confidence index rose slightly to 8.5 in November, up from 8.4 in the preceding month, a report from market research group GfK showed. The score was forecast to fall to 8.

Elsewhere in Europe, the UK economy grew at a slower pace in the third quarter in face of rising uncertainty stemming from global economic conditions, preliminary estimates from the Office for National Statistics Office showed Friday. Gross domestic product climbed 0.7% from the second quarter, when it grew 0.9%. The sequential growth rate was in line economists’ expectations.

Gold futures snapped a two-day loss to end higher Friday, on lingering concerns over the health of the eurozone economy, notwithstanding an unexpected improvement in German consumer sentiment in November. On Thursday, gold futures ended down 16.40 or 1.3% at USD1,229.10 an ounce, losing for a second straight session, as some upbeat corporate earnings reports and economic data from China and the eurozone prompted traders to go for riskier assets. A stronger greenback also weighed on the yellow metal.

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 recent analysis and information in our weekly reports and we provide daily updates and outlooks.

Historical: From 2011 to present

Highest: 1911.60 on Sep 06, 2011

Average: 1633.45 over this period

Lowest: 1180.35 on Jun 28, 2013

Major Economic Events for the week of October 27-31st

Time	Cur.	Imp.	Event	Actual	Forecast	Previous
Monday, October 27
		Holiday	New Zealand – Labour Day
	EUR		German Ifo Business Climate Index (Oct)		104.3	104.7
	USD		Pending Home Sales (MoM) (Sep)		0.5%	-1.0%
Tuesday, October 28
	USD		Core Durable Goods Orders (MoM) (Sep)		0.5%	0.4%
	USD		CB Consumer Confidence (Oct)		87.0	86.0
Wednesday, October 29
	NZD		Interest Rate Decision		3.50%	3.50%
Thursday, October 30
	EUR		German Unemployment Change (Oct)		5K	13K
	USD		GDP (QoQ) (Q3)		3.0%	4.6%
Friday, October 31
	EUR		CPI (YoY) (Oct)		0.4%	0.3%
	CAD		GDP (MoM) (Aug)