Analysis of gold news: The gold market experienced violent fluctuations last week. Before last Friday, gold prices recorded considerable weekly gains. However, after last Friday’s plunge, gold prices turned downward on a weekly basis. Gold briefly gained bullish momentum last week, only to erase its weekly gains heading into the weekend. The near-term technical picture has yet to highlight increasing bullish momentum. Investors will be keeping a close eye on geopolitics and U.S. data this week. Last Friday’s plunge caused gold prices to give up all previous gains this week, closing at $2,321.64 per ounce last week, down 0.45% on the week. After a quiet start last week, gold prices broke through a narrow trading range on Thursday and climbed to 2,360 USD/Oz above two-week high. However, continued strength in the U.S. dollar heading into the weekend caused gold prices to pare gains. Investors will continue to focus on this week’s geopolitical headlines and key U.S. data releases. The U.S. economic calendar will not release any high-impact data that could have a significant impact on gold during the first half of this week. As a result, investors will continue to pay attention to headlines surrounding conflicts in the Middle East. Further escalation in geopolitical tensions could allow gold to gain bullish momentum. On Thursday, the U.S. Bureau of Economic Analysis (BEA) will release the final value of first-quarter gross domestic product (GDP). On Friday, the U.S. Bureau of Economic Analysis will release May data on the personal consumption expenditures (PCE) price index, the Fed’s preferred inflation gauge. Investors are likely to react to core PCE inflation data, which strips out more volatile commodity prices such as food and energy and is not distorted by base effects. In April, the core PCE price index rose 0.2% month-on-month. If the May data comes in at 0.2% or lower, it could reignite expectations for a September rate cut by the Fed and lead to selling pressure on the dollar. On the other hand, if the reading reaches 0.3% or higher, it could trigger a rebound in U.S. Treasury yields and force gold prices lower by the end of next week.
Today’s gold strategy sharing: It is recommended to focus on low and long callbacks, supplemented by rebounds from high altitudes. Focus on the first-line resistance of 2338 at the top and the first-line support of 2308 at the bottom.
Analysis of crude oil news: In the U.S. market last Friday (June 21), the U.S. crude oil August futures contract fell back within a narrow range and is currently trading at $80.53 per barrel. Crude futures climbed on Thursday after the U.S. Energy Information Administration (EIA) reported a drop in crude inventories and data showed a cooling labor market, boosting hopes that the Federal Reserve will cut interest rates sooner. The main Brent crude oil futures contract rose 0.37% to $84.80 a barrel on Thursday. It earlier hit $85.814, its highest since May 1. U.S. crude oil futures for July delivery, which expired last Thursday, rose $0.75, or 0.94%, to $82.32. The more active August futures contract hit a maximum of $81.52/barrel on Thursday and closed at $81.24/barrel, an increase of about 0.76%. As investors became increasingly optimistic about the demand outlook, international oil prices continued their gains and hit a new high in the past month. WTI crude oil futures once approached the US$80 mark, but did not stand there. Finally, they closed up 2.41% at US$79.95 per barrel. Crude oil and product inventories have risen at an unseasonal pace since February, and if this trend continues, it could put pressure on oil prices in the third quarter. If inventories continue to build rapidly, oil prices will fall.
Today’s crude oil strategy: It is recommended to focus on rebounding high, supplemented by callbacks low and long. Focus on the 81.8 first-line resistance at the top and the 78.8 first-line support at the bottom.
Operations need to be done with caution and are recommended for reference only.
