Source: ForexYard
During Monday’s trading , both gold and silver prices continued a slow gradual rise to complete a two-day rally. Whether the rise in the two metals will continue this week is not yet known, as there are still a number of key events coming out this week. Today, we await the minutes of the FOMC Meeting.
There is a strong possibility that the FOMC meeting will provide insight into future decisions and actions that the FOMC could take leading up to the next meeting at the end of the month.
There was good news for the U.S dollar as positive figures from the U.S PMI manufacturing index climbed to 53.4 percent for March from a figure of 52.7 percent for the month of February.Not only is the greenback showing signs of strength once again, but this result indicates that the U.S economy is growing at a faster rate than expected.
There a number of Commodity-related reports that were released yesterday, the results went as follows:
More negative news for the Euro as the EU rate on unemployment slightly rose from January’s figure of 10.7 percent to 10.8 percent for the month of February.These figures could have been r4esponisble for the Euro not making gains yesterday.Elsewhere,Investment Banking giants Goldman Sachs cut its recommendations on raw commodities and a report was published indicating that the S&P500 has so far outperformed Gold prices in 2012, whether this continues to be the case, only time will tell.
To conclude, both precious metals started the month of April on a good note even though their overall performance for the year has not been very impressive. However, if there is a decision made to have another QE Program, there’s a possibility that it will have a positive effect on the bullion market.The likelihood of today’s FOMC Meeting Minutes and U.S factory orders report having an affect on the markets will come down to the result, where an unexpected outcome could cause a stir.
Forex Market Analysis provided by ForexYard.
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