EUR/USD 1.17850
0.025%
Gold 4795.37
0.097%
Oil 89.658
0.037%
USD/JPY 159.106
-0.022%
GBP/USD 1.35328
0.047%
GBP/JPY 215.321
0.037%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
Australian Prime Minister Albanese: Viva Energy’s Geelong refinery is still operating at 80% capacity for diesel and jet fuel production following the fire.1. Ukraine reports attacks on energy infrastructure, causing power outages in multiple areas. 2. TASS reports that Russia claims an oil tanker was attacked in its waters. 3. Ukrainian media reports that in a recent airstrike, a Russian drone dropped anti-Trump leaflets into Ukraine. 4. Ukraines Minister of Infrastructure reports that Russia has launched over 600 attacks on Ukrainian railway logistics this year, including 65 in April. 5. A Ukrainian drone commander reports that the Ukrainian military attacked Russian oil facilities in Crimea and port infrastructure in Tuapse. 6. A local governor stated that a Russian drone struck a civilian vessel flying the Nauru flag in the Odessa region of Ukraine, but the vessel continued on its original course. 7. The Russian Ministry of Defense reports that in the past 24 hours, the Russian military launched a large-scale attack using land-based, air-based, and sea-based long-range high-precision weapons and attack drones against Ukrainian defense industrial complex facilities used for the production of cruise missiles and medium-to-long-range drones, as well as fuel and energy complex facilities serving the Ukrainian military.According to SEC filings, Netflixs co-CEOs will receive a total compensation of $53.2 million in 2025.The statement indicates that the G7 finance ministers discussed the need to maintain pressure on Russia to prevent the Middle East crisis from benefiting its war efforts.According to SEC filings, Meta will hold its annual online meeting on May 27.

Forecast for Gold Price: XAU/USD licks US inflation-related wounds near $1,700

Alina Haynes

Sep 14, 2022 11:39

 154.png

 

Gold price (XAU/USD) is under pressure near $1,700 as bears take a pause following the largest daily decline in two weeks due to US inflation. However, it should be noted that a lack of important data/events appeared to limit bullion's quick movements throughout Wednesday's Asian session.

 

Tuesday's US inflation statistics rekindled fears about the Federal Reserve's fast rate hike and exacerbated recession concerns. Also acting as factors for a decline in the XAU/USD are geopolitical concerns over China and Russia.

 

In August, the US Consumer Price Index (CPI) surpassed market expectations by increasing 8.3% year-over-year (YOY), compared to 8.8% previously. However, the monthly data increased to 0.1%, exceeding the -0.1% anticipated and 0.0% previous estimates. The core CPI, which excludes food and energy, likewise exceeded the 6.1% consensus and 5.9% prior to printing at 6.3% for the month in question.

 

Following the release of US inflation statistics, wagers on the Fed's next move became further aggressive, with a 75 basis point (bps) raise next week appearing nearly probable. There is a 25% possibility that the US Federal Reserve (Fed) will announce a complete 1% hike in the benchmark Fed rate at its meeting on September 21.

 

It should be mentioned that the yield inversion expanded after US inflation data and fueled recession concerns, which in turn weighed on the XAU/USD values due to the pair's reputation as a risk-barometer. However, following the release of the data, rates on 10-year US Treasury notes rose to 3.412% and those on 2-year bonds rose to 3.76%, from roughly 3.411% and 3.745%, respectively. In addition, the US stock market experienced its largest daily decline in over two years following the announcement of the US CPI, which thrilled metal bearish.

 

In addition to the rush toward deeper ties with China, US Vice President Joe Biden's efforts to raise China's troubles contribute to Sino-American tensions. In addition, worries that Russia will retaliate harshly after retreating from certain regions of Ukraine weighed on market mood and the price of gold.

 

A light schedule ahead of the US Producer Price Index (PPI) may keep XAU/USD on the precarious floor, but bears are likely to maintain control until Thursday's US Retail Sales for the month of August and Friday's preliminary reading of the Michigan Consumer Sentiment Index for September.

Suggestion