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On May 27, at the opening ceremony of the 20th Shenzhen International Financial Expo, Hong Danyi, Vice President of Tencent Financial Technology, announced that Tencents cross-border payment platform, TenPay Global, and PayPal World have achieved interconnection. PayPal users can now make purchases smoothly at tens of millions of WeChat Pay merchants in China. The first phase will be open to users in the United States.On May 27th, Futures News reported that, to further standardize the handling of preliminary procedures for coal-fired power projects and effectively improve the work efficiency of leagues, cities, and project construction units, the Development and Reform Commission of the Autonomous Region organized a service coordination meeting on energy conservation review and carbon emission assessment for coal-fired power projects on the afternoon of May 26th. The meeting, through policy interpretation and on-site Q&A, fully promoted the coordination of energy conservation review and carbon emission assessment services for coal-fired power projects. At the meeting, the Development and Reform Commission of the Autonomous Region systematically interpreted the latest policy requirements for energy conservation review of coal-fired power projects, deeply analyzed common problems in the project application process, clarified the list and standards for material submission, and, focusing on the core concerns of national review, provided detailed explanations of key aspects such as project energy efficiency levels, carbon emission control, and technical feasibility, providing clear guidance for project units and drafting agencies. Next, the Development and Reform Commission of the Autonomous Region will further strengthen overall coordination, proactively provide services, and solidly carry out all tasks such as joint assessment and demonstration and document preparation for preliminary projects.According to the Financial Times, the Czech Republic, Bulgaria, Poland, Romania, Greece, and Slovakia have called for an increase in carbon emission permits amid the global crisis and high energy prices.On May 27, local time, Irans Ministry of Intelligence issued a statement claiming that "hostile forces" are attempting to exert new pressure on Iran through "soft warfare," "cognitive warfare," and other "hybrid warfare" tactics. The statement said that, according to information obtained by Iran, the adversaries are currently focusing on seven areas: increasing economic pressure, exploiting social issues to incite public opinion, instigating ethnic and religious conflicts, carrying out terrorist attacks and sabotage, smuggling weapons and illegal communication equipment, launching cyberattacks, and conducting information warfare through foreign Persian-language media and social media platforms. The statement also indicated that the adversaries had attempted to launch ground operations from western and northwestern Iran using armed groups, but these plans were thwarted by Iran. The statement further accused some foreign media outlets of participating in information warfare and claimed that Iranian intelligence agencies had seized a large quantity of weapons and communication equipment.Scotiabank: The Bank of Canadas outlook is highly sensitive to the USMCA negotiations and geopolitical developments; it expects the Bank of Canada to raise its policy rate to 3% by the end of the year.

Gold Price Prediction: XAU/USD struggles to extend gains on encouraging ADP Employment data from the United States

Daniel Rogers

Jan 06, 2023 11:12

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After falling to almost $1,825.00 during the late New York session, the gold price (XAU/USD) has tried a recovery. The precious metal is battling to continue its rebound as robust United States Automatic Data Processing (ADP) Employment Change data has prompted the risk of the Federal Reserve (Fed) maintaining higher interest rate stability for an extended duration.

 

S&P500 suffered a major sell-off from the market participants, displaying a risk-aversion theme, as bigger additions of fresh payrolls in the United States job market will require the Fed to sustain its aggressive position on interest rates for a longer term. This has also caused a possibility of recession in the US economy. The Employment Change (Dec) jumped to 235K in contrast to the predicted 150K and the previous release of 127K. In addition, the weekly Initial Jobless Claims (IJC) have decreased to 204K compared to the expected 225K.

 

The US Dollar Index (DXY) achieved a roaring rally after sustaining above the important resistance of 104.00 and rose to reach 105.00. In addition, 10-year US Treasury yields detected demand and rose to approximately 3.72 percent.

 

Investors will closely monitor Nonfarm Payrolls (NFP) data on Friday. After noticing optimistic signals from ADP Employment Change, it is quite likely that the US NFP will report data that exceeds expectations. The unemployment rate is expected to remain unchanged at 3.7%.