Gold 1902,54
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EURUSD 1,1713
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DJIA 27282
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OIL.WTI 37,93
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DAX 12724,42
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September has come to an end, but October is coming out on stage, which promises to be even more nervous. Investors understand that the situation will be more interesting every day. And what we will come up with by the end of 2020 can only be guessed.
Gold
The beginning of autumn seemed to be a good one. Many leaders talked about defeating COVID-19, unemployment in the US was declining, the US Federal Reserve promised to let inflation go to ‘free floating’ and rates remained at record low. But as it turned out, we live a little in a different world. In September, markets fluctuated very strongly and leading indices suffered serious losses. For the first time since March, the DOW index fell by 2.3%, while the S&P 500 lost 3.9%. All of this was due to serious risks associated with this situation.
Now all the attention is focused on the presidential elections in the USA and the development of a vaccine against coronavirus. The first ones will take place soon enough, but it is not yet clear what candidates are proposing. The second is more difficult, because the vaccine testing phase takes quite a long time.
It can now be argued that volatility is returning to the market. On the bear and bull side, there are many factors that will pull the price down or up.
On Thursday, the S&P500 index was traded with a 0.6% increase at 3372. The DAX closed with a 0.23% decline at 12730.
AUSTRALIAN DOLLAR
Positive economic statistics from Australia’s closest trading partner, China, are gaining momentum. The active recovery has a good impact on the Australian dollar, as it has always been a commodity currency and Australia was the main exporter of raw materials to China. The AUD/USD pair is now near the SMA50 day zone at 0.7200. A break-up of this level opens the way above 0.7300.
Gold
Gold has finally broken through the level of $1900 per ounce and is moving steadily upwards. The US has released good employment data, which means that unemployment data will improve this Friday. In these statistics, we may see stock markets grow, which may give some price correction down, but not significant. The weakening US dollar should support gold. It then opens the way to $1950 and further to $1970 per ounce.
What awaits us today?
3.30 Retail sales volume in Australia for August
11.00 EU Consumer Price Index from the beginning of the year
14.30 Change in non-agricultural employment in the USA for September
16.30 US unemployment rate
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