Breaking News

Gold / Silver / Copper Prices - Weekly Outlook: July 2 - 6

CommoditiesJul 01, 2018 06:04AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
© Reuters. Gold likely to remain under pressure with Fed minutes, U.S. jobs report in focus - Gold prices are likely to remain under pressure this week as traders digest the minutes of the Federal Reserve’s June meeting on Thursday, when markets re-open after Wednesday’s Independence Day holiday.

The Fed hiked interest rates in June and signaled for the first time that they could lift rates four times this year, a typically gold-negative factor.

On Friday, metals traders will turn their attention to the U.S. employment report for June for an update on the health of the labor market. The report is expected to show that hiring cooled.

Last month’s jobs report was overshadowed by a tweet from U.S. President Donald Trump that said he was looking forward to the data, so investors will likely keep an eye on the president’s Twitter account ahead of the release of the report.

Alongside the jobs report, markets will watch for updates on the U.S. manufacturing and services sectors.

Gold prices ticked higher on Friday as a rally in the dollar stalled, but still logged a weekly loss.

Gold futures for August delivery rose $3.2 or 0.26% to settle at $1,254.20 on the Comex division of the New York Mercantile Exchange late Friday. Its close on Thursday at $1,247.80 was the lowest since December 13.

Gold prices saw a weekly loss of 1.27%, a decline of 3.75% for the month and a 5.41% drop for the quarter, leaving prices down 4.21% so far this year.

Gold prices have slumped despite escalating trade tensions and uncertainty over the outlook for global growth as a stronger dollar and higher interest rates have negated any boost from safe haven demand.

Expectations for higher rates tend to be bearish for gold, which struggles to compete with yield-bearing assets when rates rise, while a stronger U.S. currency makes gold and other dollar-denominated commodities more expensive for foreign investors.

Elsewhere in precious metals trading, silver futures settled up 0.96% at $16.10 a troy ounce, for a weekly decline of 2.04%. Platinum settled at $856.90, up 0.2%, bringing the week’s losses to 2.48%.

Among base metals, copper was slightly lower at $2.96 in late trade, holding above the six-month low of $2.930 reached on Thursday. Prices fell 2.7% for the week, pressured lower by concerns over slowing economic growth in China, the world’s largest consumer of the metal.

Ahead of the coming week, has compiled a list of significant events likely to affect the markets.

Monday, July 2

China is to release data on the Caixin manufacturing index.

The UK is to release data on manufacturing activity.

Financial markets in Canada will be closed for a holiday.

In the U.S., the Institute of Supply Management is to publish its manufacturing index.

Tuesday, July 3

New Zealand is to release data on business confidence.

Australia is to report on building approvals and the Reserve Bank of Australia is to announce its benchmark interest rate and publish a rate statement, which outlines economic conditions and the factors affecting the monetary policy decision.

The UK is to release data on construction activity.

Wednesday, July 4

Australia is to produce data on retail sales and trade.

China is to release data on the Caixin services index.

The UK is to release data on service sector activity.

Financial markets in the U.S. will be closed for a holiday.

Thursday, July 5

Bank of England Governor Mark Carney is to speak.

The U.S. is to release the ADP nonfarm payrolls report as well as the weekly report on initial jobless claims and the ISM is to publish its non-manufacturing index.

Later in the day, the Federal Reserve is to publish the minutes of its June meeting.

Friday, June 6

The UK is to publish an industry report on house price inflation.

Canada is to publish its latest employment report.

The U.S. is to round up the week with the nonfarm payrolls report for June.

Gold / Silver / Copper Prices - Weekly Outlook: July 2 - 6

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
Sign up with Email