Precious Metals Fundamental Analysis – August 31, 2015 – Forecast – Gold, Silver & Platinum

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Updated: Aug 28, 2015, 14:09 UTC

Analysis and Recommendations: Gold added $5.70 to trade at 1127.70 while Silver followed along adding 23 points to 14.44. Platinum added $1.35 holding

Precious Metals Fundamental Analysis – August 31, 2015 – Forecast - Gold, Silver & Platinum

Analysis and Recommendations:

Gold added $5.70 to trade at 1127.70 while Silver followed along adding 23 points to 14.44. Platinum added $1.35 holding above the 1000 level at 1007.35. Gold prices were slightly higher on the London spot market on Friday, but the prospects of a stronger dollar and further good economic news out of the US will likely keep a cap on the price of the metal in the coming weeks.

Gold missed out on the big gains across commodities on Thursday, as the positive US economic data that pushed oil and metals higher dulled traders interest in safe haven assets and increased the likelihood of a September interest rate rise.

On Friday gold traded slightly higher on a day when many commodities appeared to lack firm direction.

US rates will likely remain the big focus for gold buyers, with US payroll numbers next week a key point for the market. Gold doesn’t pay interest or dividends so suffers in comparison to yield-bearing assets when rates climb. Higher rates would also likely boost the dollar, making the greenback-denominated gold more expensive for most buyers.

The market has gradually moved toward seeing a US rate rise more likely in December. This view seemed to be holding up on Friday, despite the slew of positive US data on Thursday.

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
JPY	Household Spending (YoY) (Jul)	-0.2%	1.3%	-2.0%
JPY	Household Spending (MoM) (Jul)	0.6%	2.2%	-3.0%
JPY	Jobs/applications ratio (Jul)	1.21	1.19	1.19
JPY	National Core CPI (YoY) (Jul)	0.0%	-0.2%	0.1%
JPY	Tokyo Core CPI (YoY) (Aug)	-0.1%	-0.2%	-0.1%
JPY	Retail Sales (YoY) (Jul)	1.6%	1.1%	0.9%
CHF	GDP (YoY) (Q2)	1.2%	0.9%	1.2%
CHF	GDP (QoQ) (Q2)	0.2%	-0.1%	-0.2%
EUR	Spanish CPI (YoY) (Aug)	-0.4%	-0.1%	0.1%
EUR	Spanish HICP (YoY) (Aug)	-0.5%	-0.2%	0.0%
GBP	Business Investment (QoQ) (Q2)	2.9%	1.7%	2.0%
GBP	GDP (YoY) (Q2)	2.6%	2.6%	2.6%
GBP	GDP (QoQ) (Q2)	0.7%	0.7%	0.7%
EUR	German CPI (MoM) (Aug)	0.0%	-0.1%	0.2%
USD	Core PCE Price Index (YoY) (Jul)	1.2%	1.3%	1.3%
USD	Core PCE Price Index (MoM) (Jul)	0.1%	0.1%	0.1%
USD	Goods Trade Balance (Jul)	-59.12B		-62.26B
USD	Personal Spending (MoM) (Jul)	0.3%	0.4%	0.3%
CAD	RMPI (MoM) (Jul)	-5.9%	-4.0%	0.2%

Upcoming Economic Events that you should be monitoring:

Monday, August 31, 2015

Cur.	Event	Actual	Forecast	Previous
	United Kingdom – Summer Bank Holiday
NZD	Building Consents (MoM) (Jul)			-4.1%
JPY	Industrial Production (MoM) (Jul)			1.1%
AUD	HIA New Home Sales (MoM) (Jul)
AUD	Company Gross Operating Profits			0.2%
AUD	Private Sector Credit (MoM) (Jul)			0.4%
CHF	KOF Leading Indicators (Aug)			99.8
EUR	CPI (YoY) (Aug)		0.2%	0.2%
CAD	Current Account (Q2)			-17.5B
USD	Chicago PMI (Aug)		54.5	54.7