Source: ForexYard
Overall this year, the Bullion market has failed to impress with gold and silver showing more losses then gains over the previous few months. Last week saw the two metals start off well but changed direction towards the end of the week as the U.S dollar gained momentum.
Even though there is a positive correlation between gold and silver, the latter has declined more frequently and on a weekly scale.
The fresh concerns over the future of the Euro-zone and a possibility that the U.S Labor market could be slowing down, were tow major factors that pushed metal prices up in the beginning of last week. In regards to the U.S economy, there are a number of key financial reports due for release this week that could have an impact on the greenback, and consequently, gold and silver.Reports such as Philly Fed, Housing Starts ,Existing home sales and Initial jobless claims are scheduled for this week. If the reports release positive results, its possible that the dollar will strengthen and push the metals in the opposite direction.
Reports in Europe are also due for release this week including staements from the European Central Bank, German ZEW economic sentiment report and German Business Climate Survey expected on Friday.Positive data from the Euro-zone could push bullion prices up, especially if Germany continue to show signs of growth.
Forex Market Analysis provided by ForexYard.
© 2006 by FxYard Ltd
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