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Gold's New Record High Followed By Sharp Downward Move

Published 07/28/2020, 07:57 AM
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The Gold Futures contract reached new record high yesterday at the price level of $1,941.90, as it further extended the advance following recent breakout above the short-term trading range and $1,800 level. The yellow metal has reached the highest in history following U.S. dollar sell-off, among other factors. And overnight it reached close to $1,980, before sharply retracing that after-hours rally. Last month gold broke above medium-term local highs along $1,750 price level, as we can see on the daily chart:

Gold Price Daily Chart

Gold is 0.5% lower this morning after bouncing from $1,980 price level. The market traded at new record high. What about the other precious metals? Silver gained 7.23% on Monday and today it is 3.5 % lower following overnight reversal from $26 an ounce. Platinum gained 1.11% and today it's trading 3.2% lower. Palladium gained 3.30% and today it's 0.7% lower. So precious metals are retracing their overnight rally this morning.

Yesterday's U.S. Durable Goods Orders/ Core Durable Goods Orders numbers release has been mixed. Today we will get the relatively important CB Consumer Confidence release at 10:00 a.m.

But the markets will await tomorrow's FOMC Statement release and Thursday's U.S. Advance GDP number. The GDP is expected to decline by a stunning 35.0% q/q!

Below you will find our Gold, Silver, and Mining Stocks economic news schedule for the next two trading days:

Tuesday, July 28

  • 9:00 a.m. U.S. - S&P/CS Composite-20 HPI y/y
  • 10:00 a.m. U.S. - CB Consumer Confidence, Richmond Manufacturing Index
  • 9:30 p.m. Australia - CPI q/q, Trimmed Mean CPI q/q

Wednesday, July 29

  • 8:30 a.m. U.S. - Goods Trade Balance, Preliminary Wholesale Inventories m/m
  • 10:00 a.m. U.S. - Pending Home Sales m/m
  • 2:00 p.m. U.S. - FOMC Statement, Federal Funds Rate
  • 2:30 p.m. U.S. - FOMC Press Conference

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