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The Hang Seng Tech Index fell by more than 2%, while the Hang Seng Index fell by 0.71%.Euro Stoxx 50 futures fell 0.3%, German DAX futures fell 0.3%, and UK FTSE 100 futures rose 0.1%.Mayor of Moscow: Russia shot down 180 drones overnight in the Moscow region.On August 18th, according to Shandong Release, the Shandong Provincial Government Information Office held a press conference this morning (August 18th), inviting officials from the Provincial Energy Bureau to introduce Shandongs efforts to promote new forms of green electricity direct connection and vigorously promote green electricity consumption. Facing the new situation and requirements of the "15th Five-Year Plan" development, and based on the reality of the provinces large electricity consumption base and the strong demand for green and low-carbon transformation from energy-intensive enterprises, the Provincial Energy Bureau issued and published the "Notice on Strengthening and Standardizing the Development of Green Electricity Direct Connection" in July this year. The notice proposes 11 specific measures in three aspects: optimizing management methods, increasing policy support, and standardizing implementation procedures, effectively addressing issues such as inconsistent standards, inefficient mechanisms, and unclear boundaries.On August 18th, Bank of America Securities issued a report stating that Zijin Mining International (02259.HK) reported a first-half net profit of US$1.45 billion, slightly higher than the profit forecast of approximately US$1.4 billion, and declared its first interim dividend. The target price was raised from HK$140 to HK$150, and the "Buy" rating was reiterated. Based on year-to-date performance, the bank raised its full-year net profit forecast for the company by 3% to US$3.1 billion, mainly reflecting lower unit cost assumptions.

Gold Price Analysis: After Fed Chair Powell's hawkish comments, the XAU/USD pair is in the red

Alina Haynes

Mar 08, 2023 13:54

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Gold is nursing its wounds due to the likelihood of a 50 basis point (bps) rate rise by the Federal Reserve. At the time of writing, Gold price is trading at $1,813.53 and has been probing lower in Asia to $1,1812.60, a fresh low made following the sell-off that transpired in response to Federal Reserve chair Jerome Powell's testimony before Congress on Tuesday.

 

The price of gold fell sharply as a result of Fed Chair Powell's remarks, falling from a high of $1,851.70 to a low of $1,1812.36 like a heavily weighted metal. This is a result of Jerome Powell, chairman of the Federal Reserve, stating that the US central bank will remain on course until the job is completed. He added more fuel to the fire by stating that the ultimate level of interest rates is likely to be higher than previously predicted.

 

The clincher was when Federal Reserve chairman Jerome Powell stated that the Fed is prepared to increase the tempo of rate increases if data indicates it is warranted.

 

"The most recent economic data have been greater than anticipated, indicating that the ultimate level of interest rates will likely be higher than anticipated. "Powell of the Fed stated in his testimony.

 

As a result, the yield on the 10-year US Treasury note rose to 4% before retreating to 3.96%, remaining marginally below the three-month high of 4.07% reached on March 2 as investors weighed the path of future rate increases by the Federal Reserve. This provided a stimulus to the dollar. The DXY index, a measure of the US Dollar versus a basket of currencies, smashed through 105 in a move that began at 104.43 and continued until 105.435, putting significant downward pressure on the price of Gold.


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