Metals Pack Monthly Fundamental Forecast October 2014

Outlook and Recommendation

Silver closed the month near its lowest point at 17.057 taking cues from gold moves most of the month. The strength of the US dollar weighed on precious metals and industrial metals along with weak Chinese data. Copper ended the month at 3.010 and could fall below the $3 range early in the month if Chinese data continues to print a bit light. A stronger US currency makes dollar-denominated precious metals more expensive for holders of other currencies. Worry about an interest rate rise in the US has also hurt gold, a noninterest-bearing asset.

Metal investors were also watching the political unrest in Hong Kong for its effect on equities and possible safe-have bids for precious metals.

Thousands of pro-democracy protesters thronged the streets of Hong Kong on Wednesday, ratcheting up pressure on the pro-Beijing government. Among other precious metals, platinum dropped more than 1% to $1,276.50 its lowest since October 2009.

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.

Upcoming Economic Events that you should be monitoring:

Cur.                       Event    

Wednesday, October 1

                 CNY                    Manufacturing PMI                                                       

                 EUR                    German Manufacturing PMI                                                      

                 GBP                     Manufacturing PMI                                                       

                 USD                    ADP Nonfarm Employment Change                                                        

                 USD                    ISM Manufacturing PMI                                               

Thursday, October 2

                 GBP                     Construction PMI                                                          

                 EUR                    Interest Rate Decision                                                  

Friday, October 3

                 GBP                     Services PMI                                                    

                 USD                    Nonfarm Payrolls                                                          

                 USD                    Unemployment Rate                                   

                 USD                    ISM Non-Manufacturing PMI                                                     

Monday, October 6

                 CAD                    Ivey PMI                                                                          

Tuesday, October 7

                 GBP                     Manufacturing Production (MoM)                                          

Thursday, October 9

                 GBP                     Interest Rate Decision                                                

Friday, October 10

                 CAD                    Employment Change                                                  

Monday, October 13

                 CNY                    Trade Balance                                               

Tuesday, October 14

                 EUR                    German ZEW Economic Sentiment                                                                         

Wednesday, October 15

                 CNY                    CPI (YoY)                                                         

                 GBP                     Average Earnings Index +Bonus                               

Thursday, October 16

12:00       EUR                    CPI (YoY)                                                                          

Friday, October 17

15:30       CAD                    Core CPI (MoM)

Government Bond Auction

Date Time Country 

Oct 01 11:03 Sweden Bond auction

Oct 01 11:30 Germany Eur 5.0bn Aug 2024 Bund auction

Oct 01 11:30 UK Auctions 2% 2020 Gilt

Oct 02 10:30 Spain Bono/Obligacion auction

Oct 02 17:00 US Announces details of 3/10Y Note