Daily Gold News: Thursday, Nov. 4 – Gold’s Fluctuations Following the FOMC Release

The gold futures contract lost 1.43% on Wednesday, Nov. 3, as it broke below the recent local lows ahead of the FOMC monetary policy release. But gold retraced some of the decline after the Fed’s news. This morning the yellow metal is trading along its previous local lows, as we can see on the daily chart (the chart includes today’s intraday data):

Right now gold is 0.6% higher, as it is retracing some of its yesterday’s decline. What about the other precious metals? Silver is 0.9% higher, platinum is 1.5% higher and palladium is 1.9% higher. So precious metals’ prices are higher this morning.

Yesterday’s FOMC Monetary Policy update led to an increase in volatility on the markets. Stocks went to the new record highs and gold bounced following its earlier decline. Today we will get the Unemployment Claims, Nonfarm Productivity and Trade Balance releases. The markets will be waiting for tomorrow’s monthly jobs data release.

Where would the price of gold go following tomorrow’s Nonfarm Payrolls announcement? We’ve compiled the data since September of 2018, a 38-month-long period of time that contains of thirty eight NFP releases. The first chart shows price paths 5 days before and 10 days after the NFP release. The last three cases are marked with dashed lines. Gold gained 0.40% in October and in September it lost 3.81%.

The following chart shows the average gold price path before and after the NFP releases for the past 36 months. The market was usually advancing ahead of the release day and closing 0.19% higher on the 10th day after the NFP release.

Below you will find our Gold, Silver, and Mining Stocks economic news schedule for the next two trading days:

Thursday, November 4

• 8:00 a.m. U.K. – BOE Monetary Policy Report, Official Bank Rate
• 8:30 a.m. U.S. – Unemployment Claims, Preliminary Nonfarm Productivity q/q, Preliminary Unit Labor Costs q/q, Trade Balance
• All Day – OPEC-JMMC Meetings

Friday, November 5

• 8:30 a.m. U.S. – Non-Farm Employment Change, Unemployment Rate, Average Hourly Earnings m/m
• 8:30 a.m. Canada – Employment Change, Unemployment Rate
• Tentative, U.S. – Treasury Currency Report

For a look at all of today’s economic events, check out our economic calendar.

Paul Rejczak
Stock Selection Strategist
Sunshine Profits: Analysis. Care. Profits.

 

* * * * *

Disclaimer

All essays, research and information found above represent analyses and opinions of Paul Rejczak and Sunshine Profits’ associates only. As such, it may prove wrong and be a subject to change without notice. Opinions and analyses were based on data available to authors of respective essays at the time of writing. Although the information provided above is based on careful research and sources that are believed to be accurate, Paul Rejczak and his associates do not guarantee the accuracy or thoroughness of the data or information reported. The opinions published above are neither an offer nor a recommendation to purchase or sell any securities. Mr. Rejczak is not a Registered Securities Advisor. By reading Paul Rejczak’s reports you fully agree that he will not be held responsible or liable for any decisions you make regarding any information provided in these reports. Investing, trading and speculation in any financial markets may involve high risk of loss. Paul Rejczak, Sunshine Profits’ employees and affiliates as well as members of their families may have a short or long position in any securities, including those mentioned in any of the reports or essays, and may make additional purchases and/or sales of those securities without notice.