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Key Events and Data Preview for This Week – Fed Meeting Minutes; Chinas June CPI and June Foreign Exchange Reserves; SK Hynix ADR Makes its US Stock Market Debut 1. Monday: ① Data: Switzerlands June seasonally adjusted unemployment rate; Eurozones July Sentix Investor Confidence Index, Eurozones May PPI (MoM), Eurozones May Retail Sales (MoM); US June S&P Global Services PMI (Final), US June ISM Non-Manufacturing PMI, US June Global Supply Chain Stress Index. ② Events: Speeches by Fed Governor Waller, ECB Executive Board Member Schnabel, ECB Governing Council Member Winsch, and Swedish Central Bank Deputy Governor Seim. 2. Tuesday: ① Data: Germanys May seasonally adjusted industrial production (MoM); UKs June Halifax seasonally adjusted house price index (MoM); Frances May trade balance; US ADP employment change for the week ending June 20, US May trade balance; Chinas June foreign exchange reserves. ② Events: Turkey hosts the NATO summit until July 8; the Office of the United States Trade Representative holds a public hearing to consider a proposal to impose additional tariffs on 60 economies worldwide. 3. Wednesday: ① Data: US API crude oil inventories for the week ending July 3; Japans May trade balance; New Zealands Reserve Bank of New Zealand interest rate decision for July 8; US May wholesale sales month-on-month rate; US EIA crude oil inventories for the week ending July 3; US EIA Cushing, Oklahoma crude oil inventories for the week ending July 3; US EIA Strategic Petroleum Reserve inventories for the week ending July 3. ② Events: EIA releases its monthly Short-Term Energy Outlook report; Reserve Bank of New Zealand Governor Brehman holds a monetary policy press conference. 4. Thursday: ① Data: US 10-year Treasury auction (ending July 8) - winning yield, US 10-year Treasury auction (ending July 8) - bid-to-cover ratio; Chinas June CPI year-on-year rate; Germanys May seasonally adjusted trade balance; US initial jobless claims for the week ending July 4; US June existing home sales (annualized); US EIA natural gas storage for the week ending July 3. ② Events: Federal Reserve releases monetary policy meeting minutes; European Central Bank releases June monetary policy meeting minutes; FOMC permanent voting member and New York Fed President Williams speaks. 5. Friday: ① Data: Germanys final June CPI month-on-month rate; Frances final June CPI month-on-month rate; Switzerlands June consumer confidence index; Canadas June employment change; Chinas June M2 money supply year-on-year rate. ② Events: SK Hynixs American Depositary Receipts (ADRs) are tentatively scheduled to list on Nasdaq on July 10; 2026 FOMC voting member and Dallas Fed President Logan speaks; IEA releases monthly oil market report. ③ Holiday: The New Zealand Stock Exchange is closed for one day. 6. Saturday: ① Data: Total number of oil rigs in the United States for the week ending July 10.An advisor to the Ukrainian Interior Minister stated that approximately 15 explosions occurred in Kyiv within 10 minutes. Air raid sirens are still in effect. There is a possibility of cruise missile and further ballistic missile attacks.On July 6, Israeli Prime Minister Benjamin Netanyahu stated on July 5 that he will continue to oppose Irans nuclear program regardless of whether the United States and Iran reach an agreement. He said that in order to defend Israels fundamental interests, the Israeli government will never allow Iran to acquire nuclear weapons.An advisor to the Ukrainian Interior Minister stated that Kyiv, the capital of Ukraine, has been hit by multiple rounds of ballistic missile strikes from Russia, with explosions reported throughout the city.U.S. Republican Representative Nancy Mays: We will introduce a bill to ban immigration from Somalia, South Sudan, and Sudan.

Gold Price Prediction: XAU/USD oscillates about $1,650 as DXY recovers recent losses

Alina Haynes

Oct 25, 2022 15:24

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Gold price (XAU/USD) is indecisive while rebounding from intraday lows to $1,650 ahead of Tuesday's European session.

 

Nevertheless, the yellow metal attracted purchasers earlier in the day due to a weaker U.S. dollar, but the currency's recent resurgence looks to have weighed on the price recently. It should be mentioned that unfavorable concerns regarding China, one of the world's largest gold consumers, have recently posed a threat to the pricing of precious metals.

 

In the absence of Fed-speak, the US Dollar Index (DXY) gains bids to reclaim the 112.00 mark while trimming its first weekly loss in three weeks. It should be emphasized that the Fed's aggressive rhetoric and weak US PMIs also support the DXY's safe-haven appeal.

 

China's efforts to protect its struggling economy and worldwide pessimism regarding Xi Jinping's third term, not to mention Hang Seng's decline to a 13-year low, impose downward pressure on market mood and the XAU/USD exchange rate.

 

US 10-year Treasury rates continue under pressure around 4.21 percent, down two basis points (bps), while US stock futures and Asia-Pacific markets are moderately bid.

 

Moving forward, second-tier US Housing data and Consumer Confidence indicators may delight gold speculators before Thursday's third-quarter US Gross Domestic Product report (Q3).