Comments on China Stimulus, European Data, Oil, and Gold
Ed Moya joins me today to recap a couple key news events today out of China and European data. Both of these events are supportive of risk on assets. We also look tot he recent in moves in oil, gold and how the US dollar is contributing.
Click here to visit the OANDA website to follow along with what Ed is writing on a daily basis.
Gold Hits 4-Month Highs as 2020 Starts
Commodities – (Jan 02, 2020)
“The gold bug isn’t giving up. Prices of the yellow metal hit four-month highs on Thursday, continuing their modest but persistent rise into 2020, as investors’ need for a hedge against the risks of the equities rally intensified.”
“Both futures and spot gold cleared the $1,520-per-ounce bar on Thursday, solidifying their hold on the $1,500 perch, as stocks on Wall Street again hit record highs in anticipation the U.S.-China trade deal will be signed in less than two weeks.”
https://www.investing.com/news/commodities-news/gold-hits-4month-highs-as-2020-starts-2051409
Louise Yamada – After Gold Breaks out of this Range, 1800 is the Next Big Target
by @PalisadeRadio on 3 Jan 2020
U.A.E. Nuclear Plant to Be Operational in 1Q 2020, Ittihad Says
By Mahmoud Habboush and Abeer Abu Omar – December 31, 2019
“The Arab world’s first commercial nuclear plant should start operating in the first quarter of 2020, Abu Dhabi government-owned newspaper Al-Ittihad reported, citing the Emirates Nuclear Energy Corp.”
Russia’s “Chernobyl On Ice” Gets A Major Lifeline
By Haley Zaremba – Jan 02, 2020
“Last week Russia made history by flipping the power switch on the “Akademik Lomonosov,” a cutting-edge nuclear power plant afloat in the Arctic Ocean. While the project has been highly criticized by some detractors, with some even referring to the Akademik Lomonosov program as “Chernobyl on ice,” the plant’s first week has been successfully uneventful, with the first electricity produced by the plant being used to light a Christmas tree in a symbolic gesture.”
https://oilprice.com/Energy/Energy-General/Russias-Chernobyl-On-Ice-Gets-A-Major-Lifeline.html
In after hours trading:
> Gold – $1541
> Silver – $18.17
PMs still trending higher into the Q1 Run.