Precious Metals Fundamental Analysis – November 12, 2015 – Forecast – Gold, Silver & Platinum

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Updated: Nov 11, 2015, 12:22 UTC

Analysis and Recommendations: Gold gave back morning gains to trade in the red at 1088.20 with no direction making small gains and losses ever since

Precious Metals Fundamental Analysis – November 12, 2015 – Forecast - Gold, Silver & Platinum

Analysis and Recommendations:

Gold gave back morning gains to trade in the red at 1088.20 with no direction making small gains and losses ever since Friday’s strong jobs report send the metal falling. More and more Federal Reserve speakers are supportive of a rate increase in December. Silver gained 34 points as traders took advantage of its steep losses to buy up the cross over metal. Platinum is trading at 903.05 and silver at 14.39.

Prices rebound slightly from three-month lows with support from some physical demand in India during the peak festival season this week, as well as buying in China. However, concerns about an impending rise in U.S. interest rates by the Federal Reserve are capping gains. Looking ahead, some analysts see gold prices moving higher on the back of safe-haven buying.

Assets in SPDR Gold Trust, the top gold-backed exchange-traded fund (ETF), fell to 663.43 tonnes on Tuesday – the lowest since September 2008 when Lehman Brothers filed for bankruptcy kicking off a global financial crisis.

Investors have been pulling out of bullion funds on increasing bets the US Federal Reserve would raise interest rates this year. Bullion as a non-interest-paying asset could take a hit to demand with higher rates.

The survey of over 80 leading economists found a 70 per cent median chance the U.S. central bank would raise its short-term lending rate at its final meeting of the year, next month.

The technical picture for gold is weak, and the next support is at the 5-1/2-year trough of US$1,077 an ounce hit in July, analysts have said.

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
NZD	RBNZ Gov Wheeler Speaks
USD	API Weekly Crude Oil Stock	6.300M	0.500M	2.800M
AUD	Westpac Consumer Sentiment	3.9%		4.2%
CNY	Fixed Asset Investment (YoY) (Oct)	10.2%	10.2%	10.3%
CNY	Industrial Production (YoY) (Oct)	5.6%	5.8%	5.7%
GBP	BoE Gov Carney Speaks
GBP	Average Earnings Index +Bonus (Sep)	3.0%	3.2%	3.0%
GBP	Claimant Count Change (Oct)	3.3K	1.5K	0.5K
GBP	Unemployment Rate (Sep)	5.3%	5.4%	5.4%
EUR	ECB President Draghi Speaks

Upcoming Economic Events that you should be monitoring:

Thursday, November 12, 2015

Cur.	Event	Actual	Forecast	Previous
NZD	Business NZ PMI (Oct)			55.4
GBP	RICS House Price Balance (Oct)		45%	44%
AUD	Unemployment Rate (Oct)		6.2%	6.2%
EUR	German CPI (MoM) (Oct)		0.0%	0.0%
EUR	Industrial Production (MoM) (Sep)		-0.1%	-0.5%
USD	Initial Jobless Claims		270K	276K
USD	FOMC Member Bullard Speaks
USD	JOLTs Job Openings (Sep)		5.370M	5.370M
USD	Crude Oil Inventories		0.752M	2.847M
USD	FOMC Member Dudley Speaks
USD	Federal Budget Balance (Oct)		-130.0B	91.0B