International spot gold traded at $1586.30 an ounce in early Asian trading on Tuesday. Intraday gold rose sharply, hitting a high of $1,587.00 an ounce before retreating from that high to trade briefly at $1,586.30.
On February 17, the world health organization (who) held a press conference in Geneva, saying it would not raise the global risk level for a new outbreak of coronary pneumonia, CCTV news reported. Who director-general tandesay said the number of new cases of coronary pneumonia in China showed a downward trend.
On this basis, who maintains its previous assessment that the new coronary pneumonia is not a global epidemic and does not raise the global risk level of the outbreak.
Michael Ryan, head of the who’s health emergency programme, said the new outbreak had occurred outside China and no significant community transmission had been observed. The WHO team has arrived in China to conduct joint research with the Chinese side and will visit the site. Who also said the use of plasma therapy in patients recovering from neopneumonia deserved further study.
Outbreak, according to the national WeiJianWei latest bulletin, February 17 0-24, 31 provinces (autonomous regions and municipalities directly under the central government) and the xinjiang production and construction corps report new cases confirmed 1886 cases, 1097 cases of serious illness case of illness, new new death cases, 98 cases (3 cases of 93 cases of hubei, henan, hebei, hunan, 1 case), the new suspected cases of 1432 cases.
Richard Baker, editor of Eureka Miner, said if the situation worsens this week, gold could quickly test the 1590 resistance level and break through the $1,600 barrier.
Bob Haberkorn, a senior commodities broker at RJO futures, said gold could test the $1, 600 mark and stocks are performing strongly, but investors are also nervous about the development of the outbreak, arguing that fear alone could drive up gold prices.
“Uncertainty about the outbreak remains high and gold remains solid at high levels, although the extent of the impact on the economy remains unclear,” said Michael McCarthy, chief market strategist at brokerage CMC Markets.
“Given the extent of the coronavirus impact in China, physical demand for gold is likely to struggle, but it is too early to predict how these effects will play out,” ubs said in a Feb. 14 report.
On the daily chart, the dollar index held its recent upward trend, peaking at 99.25. Technically, the MACD red momentum column expanded slightly, while the KDJ random index turned sharply higher, indicating stronger upward momentum for the dollar and continued gains in incoming stocks.
On the 4-hour chart, the dollar index held steady, the MACD green momentum remained unchanged, and the KDJ random index turned to appreciate, indicating that the dollar’s short-term upward momentum has slightly strengthened and may continue to rise.
On the daily chart, gold maintained its recent rally, with the MACD green momentum column unchanged and the KDJ random index continuing to move higher, indicating that gold’s upward momentum remains intact and coming stocks continue to rally.
On the 4-hour chart, gold maintained a moderate upward trend, with the MACD red momentum column expanding slightly and the KDJ random index turning higher, indicating that gold would also accelerate in the short term.
Fundamentals favorable factors:
1.on Tuesday, February 18, according to the hubei province WeiJianWei bulletin, as of February 17, 24, according to the 31 provinces (autonomous regions and municipalities directly under the central government) and the xinjiang production and construction corps, the existing 58016 cases of confirmed cases of 11741 patients with severe cases (), the cumulative cured cases, 12552 cases of hospital (Beijing increased 7 cases), the cumulative death cases, 1868 cases, has reported 72436 cases of confirmed cases of the xinjiang production and construction corps (add 2 cases), the existing 6242 cases suspected cases. A total of 560,901 close contacts were traced, and 141,552 close contacts were under medical observation.
2. The latest coronavirus figures from China show a decline in new cases, but “anything can happen” as far as the outbreak goes, the who said on Monday. Who director-general tandsai said it was too early to tell whether there had been a real decline in new coronavirus infections and to treat the decline with caution.
3.U.S. data on Friday showed that consumer spending slowed further in January, with clothing store sales falling at their steepest pace since 2009, a trend that could raise concerns about the economy’s ability to continue expanding at a moderate pace. Excluding autos, gasoline, building materials and food services, retail sales were flat from a month earlier. The December figures were revised down to show so-called core retail sales rose 0.2 percent, instead of the previously reported 0.5 percent jump and an expected 0.3 percent rise. Core retail sales are most closely related to the consumer spending component of gross domestic product.
4. Industrial production fell 0.3 percent in January after falling 0.4 percent in December, the federal reserve said in a report on Friday. Industrial output was weighed down by a 4.0 percent fall in utility production. A 7.4 percent plunge in aerospace and other transportation equipment production also weighed on industrial output in January.
Fundamental negative factors:
- On February 17, the world health organization (who) held a press conference in Geneva, saying it would not raise the global risk level of a new outbreak of coronary pneumonia, CCTV news reported Tuesday. Who director-general tandesay said the number of new cases of coronary pneumonia in China showed a downward trend.
2. The people’s bank of China (pboc) issued a statement on Monday (February 17), saying that on February 17, the people’s bank of China (pboc) launched the 200 billion yuan medium-term lending facility (MLF) and 100 billion yuan seven-day reverse repo operation to hedge the impact of the central bank’s reverse repo expiration and other factors and maintain reasonable and abundant liquidity in the banking system.
3. Separate data released on Friday showed the university of Michigan’s preliminary consumer confidence index rose to 100.9 in February, close to the expansion peak of 101.4 set in March 2018. Meanwhile, the university of Michigan’s preliminary expectations index for February rose to 92.6, the second-highest level in the long-term expansion.
4. The latest data from the U.S. labor department showed on Thursday that the U.S. consumer price index (CPI) rose 2.5% in January from a year earlier, compared with an expected 2.4% from 2.3%. U.S. core consumer prices rose 2.3 percent in January from a year earlier, compared with expectations of 2.2 percent. Some commentators pointed out that the CPI data showed that basic consumer prices rose as households spent more on rent and clothing, which supported the fed’s view that inflation would gradually rise to the 2 percent target.