The Economic Data Was Not Promising
How Will It Affect Gold?
- Earlier this week, the Dallas Fed Manufacturing Index (Aug) remained near the previous number, printed at -17.2.
- Yesterday, the earliest job data for this week, JOLTs Job Openings (Jul), printed a much lower number at 8.827M from 9.165M, indicating a more pessimistic economy.
- The market will witness some other job-related data, such as Initial Jobless Claims (Aug 26), Nonfarm Payrolls (Aug), Unemployment Rate (Aug), etc. The releases will give the market hints about the potential rate hike soon.
- From a technical perspective, Gold (XAUUSD) surged significantly and approached the nearest swing high at around 1,947 USD per troy ounce.
- If Gold (XAUUSD) closes above 1,947 USD per troy ounce, the price may retest 1,960 – 1,980 USD per troy ounce.
- On the contrary, Gold (XAUUSD) may retest its support at 1,920 USD per troy ounce if the price retraces before its continuation.