Reported 8 months ago
Provided by MegaBank Futures Consultancy Department's futures analyst Xie You-cheng, with Chen Yu-guang's compilation on June 20, 2024, at 4:10 PM, consumer spending has significantly slowed down, increasing the chances of further rate cuts by the Federal Reserve. This Friday marks the settlement day for US stock index futures, with high probabilities of bullish settlements for S&P 500 and Nasdaq index futures besides Dow Jones index futures. For gold futures, weaker-than-expected US retail sales data has strengthened hopes of a Fed rate cut this year, leading to a decrease in the US dollar and bond yields. Traders currently predict a 67% chance of a rate cut by the Fed in September according to CME Fed Watch Tool data. With the opportunity cost of holding gold lowered by rate cuts, the gold price, after reaching a historical high of $2,449.89 per ounce on May 20, has since dropped by 6%. The suspension of gold purchases by the People's Bank of China in May has been a key factor affecting gold demand. Gold prices have been consolidating technically in recent days, with a turning point near $2,357. As for oil prices, boosted by optimistic global crude oil demand outlook, oil futures have risen for several days, offsetting worries about escalating conflicts and a sudden increase in US crude oil inventories. Technically, oil prices have risen to a near seven-week high, with short-term support at $79.3.
Source: YAHOO