The new news is coming to China, India, and the US. Gold suddenly a surge! Gold just passed $1,955!

On Friday (September 18), the dollar index intraday, slightly lower, now at around 92.85; Spot gold has seen a sudden spike in short-term prices, with gold just breaking through $1,955 an ounce and peaking at $1,555.52. On the U.S. -china front, Senate Democrats on Thursday announced a plan to confront China. On the china-India situation, the spokesperson of the Chinese Embassy in India made the latest response to the Indian media’s report that Chinese companies are monitoring Indian politicians. While the Fed’s latest decision did not provide enough momentum for gold bulls to move higher, geopolitical tensions are still keeping the market in a risk-off mood, which is positive for gold prices, analysts said.

Gold fell to its lowest level in more than a week on Thursday as the Federal Reserve dampened investors’ hopes of more stimulus measures to support the economy. Spot gold closed at $1,943.81 an ounce, down $14.88, or 0.76 percent, after hitting an intraday low of $1,932.36 an ounce.

The Fed pledged on Wednesday to keep interest rates near zero until inflation “modestly exceeds” its 2 per cent inflation target “for an extended period”. However, the Fed also said it expected the economy to recover more quickly than previously thought and the unemployment rate to fall faster than it had expected in June.

Projections by Fed officials suggest that interest rates are likely to remain near zero until 2023. Moreover, the Fed now thinks US GDP will shrink by 3.7 per cent in 2020, better than the 6.5 per cent fall it forecast in June.

“As inflation continues to be below this long-term target, the Committee’s objective is to achieve inflation of just over 2 per cent over a period of time in order to achieve an average long-run inflation rate of 2 per cent and to maintain long-term inflation expectations at 2 per cent,” the Federal Open Market Committee said in a statement after the meeting. The Committee wishes to maintain an accommodative monetary policy stance until these outcomes are achieved.”

Analysts noted that the fed’s statement was more dovish, with the notable change in the statement being that “the Committee seeks to achieve inflation of a moderate level above 2 per cent over a period of time”. The question, however, is how much “moderate” and how long “for a while”.

“Although the Fed is quite dovish, it doesn’t seem to be dovish enough for the gold market,” said Bart Melek, head of commodity strategy at TD Securities in Toronto. “The fear is that without more QUANTITATIVE easing, gold could lose momentum.”

However, analysts said the Fed’s easing stance would support gold prices in the longer term. In addition, geopolitical tensions and uncertainty over the global economic outlook remain catalysts for gold to shine in the future.

Peter Hug, head of Kitco precious metals, said it was a “very good sign” that gold had consolidated between $1925 and $1975 for most of the two-week period. “The fact that the market is not as crazy as it was a month or six weeks ago and people are not selling now tells me that this market is getting ready for the next leg up,” said Hug.

“People expect the Fed to keep interest rates low for a long time, with inflation above its 2 percent target,” said David Meger, head of metals trading at High Ridge Futures. “The weak economic data support the view that the Federal Reserve will remain accommodative and congress will deliver another stimulus, which are the main pillars supporting gold.”

Jeffrey Christian, managing partner at CPM Group, said gold prices would continue to rise due to political uncertainty in the United States, Brexit and weakness in the overall global economy.

Lukman Otunuga, senior research analyst at FXTM, said it would be difficult to bear gold as strong fundamentals would drive prices higher. He added that economic uncertainty, geopolitical instability and increased stock market risks surrounding the Novel Coronavirus pandemic will continue to support safe-haven demand for gold. He also noted that rising inflationary pressures are now another strong pillar of support.

James Steel, chief precious metals analyst at HSBC, said: “Real interest rates will remain negative. In the current low interest rate environment, holding non-yielding assets such as gold becomes more attractive.”

Michael Matousek, chief trader at U.S. Global Investors in New York, said, “It’s optimistic right now because Investors think low interest rates are here to stay for more than three years. That’s very good for gold.”

Shenzhen Zhenhua Company monitored the latest response of the spokesperson of the Chinese Embassy in India

The Indian government has launched an investigation into a Global database of tens of thousands of Indians and organizations, including Indian politicians, which is backed by the Chinese government, Indian media reported. The spokesman for the Chinese Embassy in India, Ji Rong, made the latest comments in response to the report.

The Indian Express reported on September 14 that Shenzhen Zhenhua Data And Information Technology Co., a company with links to the Chinese government and Communist Party, had collected the personal data of tens of thousands of Politicians and celebrities in a “hybrid war” against India. Senior sources told the Indian Express that information security and privacy issues raised by incidents such as Shenzhen Zhenhua’s collection of Indian citizens’ personal funds were key to the Indian government’s decision to ban Chinese mobile apps and similar decisions.

New Delhi: The Indian government has appointed cybersecurity chief Lieutenant General Rajesh Pant to lead a panel of experts to investigate and assess whether Shenzhenhua Data Is involved in any wrongdoing and the impact, and will make recommendations and report back to the government within 30 days, Foreign Minister S.J. Pant said on Monday. The Indian Foreign Ministry has raised the issue with The Chinese ambassador to India, Sun Weidong, and the Indian embassy in Beijing has also raised the issue with the Chinese foreign ministry, Su said.

According to the website of the Chinese Embassy in India on September 17, counsellor Ji Rong, spokesperson of the Embassy, answered questions on Indian media reports on Zhenhua Data Company. The spokesman said that some forces with ulterior motives hyped up the allegation that China stole and manipulated data, which is part of a planned and premeditated strategy to suppress, contain and discredit China.

Referring to reports that Zhenhua Data And Information Technology Co LTD monitored tens of thousands of Indians and organizations, including Indian dignitaries, counsellors Ji Rong said the company had publicly responded to the issue, making it clear that the reports were seriously inconsistent with the facts. I want to emphasize that Zhenhua is a private company and has nothing to do with the Chinese government. There are plenty of foreign companies engaged in similar business. The “presumption of guilt” based on rumors and rumors is pure lust for a stick.

“I would like to reiterate that China has always been a staunch defender of cyber security,” counsellor Ji Rong said. China’s Cyber Security Law stipulates that network operators must abide by laws and administrative regulations, respect social ethics, observe business ethics, be honest and trustworthy, and fulfill their obligations of cyber security protection when conducting business and service activities. Network operators shall abide by the principles of legality, legality and necessity in collecting and using personal information, and shall not steal or obtain personal information by other illegal means.

“It is part of a planned and premeditated strategy of suppressing, containing and discrediting China to sensationalize the allegation of China stealing and manipulating data,” counsellor Ji Rongji said. “We call on all parties to make concrete efforts together with The Chinese side to truly safeguard global data security and build a peaceful, secure, open and cooperative cyberspace,” he added.

The counsellors concluded that the two sides had maintained communication after recent Indian media reports on zhenhua’s misinformation. China is ready to work with India to strengthen cooperation, jointly safeguard cyber security and create a good atmosphere for the development of bilateral relations.

Tensions remain high along the China-India border. The June clash in the ladakh region west of the border between the two countries was the worst violent clash between the nuclear-armed neighbors in decades. China has not released casualty figures for its troops.

Hu Xijin, editor-in-chief of Global Times, said on Twitter on Thursday that The number of Chinese casualties was “far less” than the 20 killed by Indian troops in a clash on the Himalayan border in June, contradicting the Indian defence minister’s claim.

Hu xijin said on Twitter: “No Chinese soldier was captured by Indian army, but the PLA captured many Indian soldiers that day.”

The United States will send a clear signal of confrontation

The situation in China and the United States, the local time Thursday, the United States senate Democrats announced a against China’s plan, this is a clear signal from Washington: no matter who in the upcoming November’s presidential election, the United States congress is likely to face much pressure from both parties, asking them to keep China’s tough stance. In July, Senate Republicans released their own mammoth bill against China.

The plan comes as relations between the us and China have sunk to their lowest point in years, with a rare bipartisan consensus that China poses a threat to global stability and US interests around the world.

On Thursday morning, the Senate Foreign Relations Committee held a hearing on the subject of “anti-China”. At the hearing, Senate Chairman James Risch, a Republican from Idaho, said he hoped the new Democratic bill would be combined with a bill the party introduced in July.

Senate Democrats plan on Thursday to present their most comprehensive strategy yet for confrontation and competition with China, rolling out sweeping legislation that would provide more than $350bn over 10 years to build US industrial capacity and challenge Beijing. The bill, led by Chuck Schumer, the minority leader, and Bob Menendez, the top Democrat on the Foreign relations committee, of New Jersey, aims to strengthen US manufacturing capacity and infrastructure to wean the country off China’s economy and make Us companies more competitive.

It comes as relations between China and the United States have deteriorated sharply, setting the stage for a new era of confrontation, and as President Trump and Congressional Republicans, particularly in the Senate, try to use the growing hostility of the United States toward China as a political weapon against Democrats.

The bill focuses on strengthening U.S. technology research and development, authorizing $300 billion over four years for such efforts, and investing about $16 billion more in the U.S. semiconductor industry to help the United States maintain its edge over China. It would also require the President to submit to Congress a plan to use the Defense Production Act to increase domestic Production capacity for semiconductor equipment and require those products to be purchased domestically.

The bill also aims to break China’s grip on global supply chains and requires the Pentagon to buy certain goods from the US and so-called friendly countries rather than from China.

The bill would also seek to punish Beijing for human rights abuses against the Uighur minority, a move supported by lawmakers from both parties to push Mr Trump to take a more aggressive stance. The bill would require the President and the ministers of commerce and Finance to submit reports identifying individuals intending to engage in or assist in forced labor in China and imposing sanctions to combat abuses against Uighurs in the Xinjiang region.

David Stilwell, the top U.S. diplomat for East Asia, said Thursday that China’s recent actions around the world are not a responsible international player but a “lawless bully.”

In testimony prepared for the Senate Foreign Relations Committee hearing, Stilwell said the United States is not asking other countries to take sides, but rather to stand up against China’s “malicious” behavior and protect its sovereignty and economic interests. Stilwell also said that U.S. competition with China does not necessarily lead to conflict, and that the United States seeks to cooperate with China in areas where its interests are aligned, such as north Korea.

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