
Can gold gain through August?
On average gold has gained 1.87% through the month of August. The months of July and August tend to be strong for gold seasonally and the appeal of gold could be set to grow further over the coming months. Gold…
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On average gold has gained 1.87% through the month of August. The months of July and August tend to be strong for gold seasonally and the appeal of gold could be set to grow further over the coming months. Gold…
Over the last 25 years the two strongest months have been in July and October. However, the weakest months come in February, August, and September.
Next week the Bank of England meet and expectations in short term interest rate markets are that they will hike rates again. However, there is uncertainty about whether that will be a 25 or 50bps rate hike. The current expectation is around a 60/40 split in favour of just a 25 bps hike.
From a seasonal perspective stocks tend to do well over the turn of the month from around the 26th to the 5th. The most likely reasons for this is due to fund inflows and index payments that occur around the turn of the month.
The stage is set for an ECB rate hike of 25bps on Thursday at 1315UK time, with both short term interest rate markets and econ-omists anticipating it. Christine Lagarde's clear signals have solidi-fied expectations for a July rate hike. Yet, the lingering uncertainty remains: What will the ECB reveal about its plans for September?
Short term interest rate markets are pricing in nearly a 100% chance of a Fed hike on Wednesday this week when the Fed meet. Interest rates are expected to rise to 5.375% from 5.125%.
Inflation data is a major focus for the Reserve Bank of Australia and a headline that prints below 5.8% and a trimmed mean below 5.9% will surprise markets and reassure the RBA that inflation is moving lower and would give the RBA confidence to remain on hold for rates.
The JPY is once again in focus this week as Japanese inflation data is released early Friday am. So, with Governor Ueda disappointing JPY bulls this week by saying that the BoJ were still some away from sustainably achieving the…
Last week silver prices gained over 8% on the lower than expected US CPI print. Investors rapidly sold the USD last week as lower inflation increased chances of the Fed holding rates for September’s meeting. This also meant that yields…
Mark your calendars for Wednesday, July 19! At 07:00 UK time, the much-awaited UK inflation data will be revealed. Anticipations suggest that the headline figure will drop to 8.2% y/y from the previous 8.7%. However, the core reading is expected…