☀️ Mon 12 Oct · ⚪ MIXED for gold
Gold about $4,195 (up about $10 since midday Friday UK)
📰 What happened
🟢 Overnight: gold rose to about $4,217 early in Asian trading as oil slipped, then eased back to about $4,195.
🟢 Friday: gold rose about 1.5% as the dollar, US bond yields (the interest rate on US government debt) and oil all fell.
🟢 US shopper mood survey (University of Michigan) fell to 46.3, below the 47.8 expected. Weaker data eases rate-rise pressure a little, though price worries edged up.
🟢 Trump said a Russia-Ukraine energy truce starts now. Oil slipped about 1%. Less oil fear means less inflation worry. But Ukraine says Russia hit power plants within hours.
🔴 Houthi rebels hit Riyadh's airport again over the weekend. This fear works through oil, which keeps inflation, and the odds of a US rate rise, high.
📅 Next 24 hours (Times: UK / New York)
17:50 / 12:50 Beth Hammack of the Fed (the US central bank) speaks. She votes on US interest rates 🔥🔥 MEDIUM
Topic: the economy and interest rates
🟢 if softer on rates | 🔴 if tougher on rates
US bond market shut for a holiday (Columbus Day). Stocks open.
📖 Gold lesson
During the Iran war, gold has often moved the opposite way to oil.
Dearer oil means hotter inflation, so the Fed leans towards higher rates, and gold pays no interest.
That is why US inflation (CPI, how fast shop prices rise) on Wed 14 Oct at 13:30 UK / 08:30 New York matters so much.