Precious Metals Fundamental Analysis – August 28, 2015 – Forecast – Gold, Silver & Platinum

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Updated: Aug 27, 2015, 14:04 UTC

Analysis and Recommendations: Gold moved between gains and losses to trade at 1126.30. Silver soared 164 points to 14.204 remaining near the bottom of its

Precious Metals Fundamental Analysis – August 28, 2015 – Forecast - Gold, Silver & Platinum

Analysis and Recommendations:

Gold moved between gains and losses to trade at 1126.30. Silver soared 164 points to 14.204 remaining near the bottom of its trading range but moving up after additional Chinese stimulus hit the markets supporting base metals. Platinum gained $11.65 to 991.85. Gold was boosted by comments Wednesday by Federal Reserve Bank of New York President William Dudley, who said the case for a September rate increase has grown “less compelling” given the turmoil in markets around the world. Economists increasingly believe a September rate increase is unlikely.

Gold has an easier time competing with Treasury bonds and other interest-bearing assets, as an investment, when rates are pinned near zero. A rate rise would also likely push the dollar higher, which isn’t good for gold given it becomes more expensive to buy for other currency holders.

Gold had risen higher as investors looked for safe havens, after steep market falls fueled by worries over China’s economic health, and amid short-covering. The rally turned out to be short-lived and gold fell for three sessions in a row.

“Turmoil across global markets did little to bring people back to gold as investors ignored the metal’s haven appeal and focused on the prospect of higher U.S. interest rates,” said an ANZ report.

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.

Today’s economic releases:

Cur.	Event	Actual	Forecast	Previous
AUD	Private New Capital Expenditure	-4.0%	-2.5%	-4.7%
GBP	Nationwide HPI (MoM) (Aug)	0.3%	0.4%	0.4%
GBP	Nationwide HPI (YoY) (Aug)	3.2%	3.1%	3.5%
EUR	Spanish GDP (QoQ) (Q2)	1.0%	1.0%	1.0%
RUB	Central Bank reserves (USD)			362.9B

Upcoming Economic Events that you should be monitoring:

Friday, August 28 2015

Cur.	Event	Actual	Forecast	Previous
JPY	Household Spending (YoY) (Jul)		1.3%	-2.0%
JPY	Household Spending (MoM) (Jul)		2.2%	-3.0%
JPY	National Core CPI (YoY) (Jul)		-0.2%	0.1%
JPY	Tokyo Core CPI (YoY) (Aug)		-0.2%	-0.1%
JPY	Retail Sales (YoY) (Jul)		1.1%	0.9%
CHF	GDP (YoY) (Q2)		0.9%	1.1%
CHF	GDP (QoQ) (Q2)		-0.1%	-0.2%
EUR	Spanish CPI (YoY) (Aug)		-0.1%	0.1%
EUR	Spanish HICP (YoY) (Aug)		-0.2%	0.0%
GBP	Business Investment (QoQ)		1.7%	2.0%
GBP	GDP (QoQ) (Q2)		0.7%	0.7%
EUR	German CPI (MoM) (Aug)		-0.1%	0.2%
USD	Core PCE Price Index (MoM) (Jul)		0.1%	0.1%
USD	Goods Trade Balance (Jul)			-62.26B
USD	Personal Spending (MoM) (Jul)		0.4%	0.2%
CAD	RMPI (MoM) (Jul)		-4.0%	0.0%
USD	Michigan Consumer Expectations			83.8