Gold and silver trade lower heading into the European session
After a promising start to the U.S. session yesterday gold (-0.24%) ended up closing -0.09% lower and that bearishness has continued today. It was a similar story for silver which now trades at $25.77/oz down 0.48% leading into the European session. In the rest of the commodities complex, copper is 0.19% in the black and spot WTI is flat.
Indices in the Asia Pac area followed the downbeat tone in Europe and the U.S. overnight. The Nikkei 225 (-0.63%), ASX (-0.93%) and Shanghai Composite (-0.04%) all closed lower. Having said that, futures are pointing towards a positive cash open in Europe.
In FX markets, the dollar index has moved 0.18% higher and the biggest mover overnight is USD/JPY which jumped 0.32% higher retracing some of yesterday's losses. In the crypto space, bitcoin is trading just under flat at $32,845.
Looking at some of the news from overnight, Fed's Daly says It would be premature to say that we've achieved victory against the pandemic.
There were reports last night that the U.S. is to add more Chinese firms to the economic blacklist regarding human rights violations.
COVID-19 cases climb to a new record day in South Korea and the government called an emergency meeting.
Australia to triple its access to Pfizer Covid-19 vaccines to 1m doses/week from July 19.
Pfizer says a third shot of its vaccine is even more helpful in combatting COVID-19
ECB sources said that policymakers failed to agree on the new policy guidance and it will be revisited on 22nd July.
COMEX copper futures maintenance margins lowered by 9.1% to USD 6,000/contract for July.
COMEX 5000 silver futures initial margins for speculators lowered by 10% to USD 14,850/contract.
China inflation figures for June. CPI 1.1% y/y (expected 1.3%), PPI 8.8% y/y (expected 8.8%).
UK May monthly GDP +0.8% vs +1.5% m/m expected.
Looking ahead to the rest of the session highlights include Candian employment change, ECB minutes and comments from BoE's Baliey and ECB's Lagarde.
By Rajan Dhall
For Kitco News
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