Watch out for the second wave! Safe-haven bid pushes dollar higher! Gold remains below 1700! Us inflation Numbers are coming!

On Tuesday, the U.S. dollar index.dxy remained in positive territory, now trading around 100.40, with analysts saying the greenback rose against most G10 currencies as risk aversion boosted demand for safe-haven assets. Spot gold continued to come under pressure below the $1,700 an ounce mark, driven by a stronger dollar. Late Tuesday, Beijing time, U.S. inflation data are expected to spark a market rally. In addition, four fed officials, including governor Charles quarles, will speak. On the global epidemic front, according to the latest statistics, the total number of confirmed covid-19 cases worldwide has exceeded 4.25 million. In the United States, more than 1.38 million cases have been confirmed and more than 81,000 deaths have been recorded.

Us inflation data hit as safe-haven buying boosted the dollar

The dollar benefited from a flight to safety ona second wave of novel coronavirus fears. In times of economic and political instability, the dollar is considered a safe store of value.

The dollar index, which measures the greenback against a basket of currencies, rose 0.49 percent to close at 100.23 on Monday after hitting an intraday high of 100.30. On Tuesday, the dollar index extended gains to around 100.40.

Germany has reported an accelerating rise in new infections following initial measures to loosen the blockade. The number of new cases in South Korea also rose to a one-month high.

“The market’s concern that the economy is restarting too quickly, leading to a new wave of infections, should continue to keep investors cautious,” analysts at Action Economics wrote.

Joe Manimbo, senior market analyst at western union business solutions, said: “last week’s U.S. jobs report showed the economy lost more than 20 million jobs in April, a record, and the unemployment rate reached nearly 15 percent, the highest since the great depression. In these circumstances, staying optimistic is proving to be a difficult task. Expectations that unemployment could exceed 20 per cent in the coming months have dampened hopes of a strong recovery in the second half of the year and supported the dollar.”

Manimbo said the dollar’s direction this week will be influenced by fed chairman colin Powell’s speech on Wednesday, as well as data on inflation, initial jobless claims and retail sales.

Us inflation data for April will be released at 20:30 Beijing time on Tuesday. The U.S. consumer price index is expected to rise 0.4 percent in April from a 1.5 percent rise in April, according to media surveys. The U.S. core consumer price index is expected to rise at a 1.7 percent annual rate in April from 2.1 percent.

“People’s expectations for the data to go down are still pretty solid,” said Ryan McKay, commodities strategist at TD Securities.

According to the fed’s schedule, fed chairman colin Powell will speak on the economy at 9 a.m. local time on May 13 (9 p.m. Beijing time on May 13).

Analysts said Powell’s speech this week was crucial given recent market expectations of a negative interest rate.

Golden Monday staged “platform diving” after the market can rebound?

Spot gold continued to come under pressure in Asian trading on Tuesday, currently trading around $1,696 an ounce. Gold prices fell sharply from the day’s highs on Monday as the dollar strengthened.

Spot gold rose as high as $1,712.30 an ounce on the week, and fell as low as $1,690.95 an ounce, down $5.36, or 0.32 percent, to $1,695.82 an ounce.

“We are seeing very strong short-term demand for the dollar,” said Daniel Ghali, commodities strategist at TD Securities. He added that gold was also caught between a huge outlook for monetary inflation, which should support its performance, and deflationary pressures from weak economic data.

Gold fell on Monday and moved closer to testing key support at $1,678.45 an ounce, according to an article on leading financial website Economies.com. As long as gold stays above this level, its bullish view will remain valid for some time to come.

Economies.com warned that gold needs to break through $1,724.00 an ounce to help lift the metal to its next major bullish target of $1,747.43 an ounce. Once it breaks through $1,747.43 an ounce, the next target is $1,785.00.

Some market participants said the long-term outlook for gold would be positive as it tends to benefit from broad central bank stimulus measures as it is widely seen as a hedge against inflation and currency depreciation.

A string of weak U.S. economic data last week underscored the impact of the outbreak and raised expectations of further stimulus from the federal reserve.

Chris Weston, director of research at Pepperstone, said gold has reasons to rise in the face of global fiscal deficits, currency depreciation, negative interest rate bonds and inflation, and the next key level to watch is $1,738 an ounce.

“The gold market has been in the $1,738 to $1,678 range since mid-april,” Weston said. “it’s a very interesting phase to be in. If gold can effectively break through the $1,738 level, investor interest will pick up and the bullish trend will continue.”

Jeffrey Halley, senior market analyst at Oanda, said gold was still in the $1,650 to $1,750 area. “Until gold tests these two levels, investor interest will not be clear.”

As for this week’s moves, analysts and traders are bullish on the outlook for gold this week, according to the weekly financial market survey released by FX168 on Saturday.

Among traders and analysts surveyed in the weekly financial market survey, gold bulls accounted for 42.86 per cent, while bears and corrections were 28.57 per cent.

In addition, according to a survey released on Friday by Kitco, a well-known gold information website, institutions and retail investors are inclined to be bullish on the gold market, with six out of 11 Wall Street professionals (55 percent) saying they are optimistic about the outlook for the coming week. Three professionals (27 per cent) expect gold prices to fall, while two (18 per cent) are neutral.

Meanwhile, an online poll for ordinary investors showed 750 votes. A total of 502 investors, or 67 per cent, expect gold to rise this week. A further 139 (19%) had negative expectations and 109 (15%) were neutral.

TD Securities commodity strategist Ryan McKay says negative interest rates, likely early next year, will help gold out of its troubles and need to be watched this week.

Novel coronavirus viruses have infected more than 4.25 million people worldwide. A total of 1.38 million cases have been confirmed in the United States

According to the latest statistics, the cumulative number of confirmed covid-19 cases worldwide has exceeded 4.25 million. At present, the number of confirmed cases has exceeded 100,000 in 10 countries, including 1.38 million in the United States.

Worldometers world real-time statistics show that as of 9:24 on May 12, Beijing time, the global total number of confirmed covid-19 cases exceeded 4.25 million, reaching 4254,193, and the total number of deaths exceeded 287,000, reaching 287,257. The United States has the highest number of confirmed covid-19 cases in the world, with more than 1.38 million cases, totaling 1385,834, and more than 81,000 deaths, totaling 81,795.

On the afternoon of May 11, local time, US President Donald trump said at a press conference that the outbreak at the White House was under control. Mr. Trump also said White House staff would be required to wear face masks. Earlier, a close trump staff member and vice President pence’s press secretary both tested positive for novel coronavirus.

Earlier Monday, the White House asked all staff members in the west wing to wear masks, maintain a strict social distance and observe visitor restrictions.

Vice President mike pence tested negative for the virus that day for the second day in a row, trump confirmed Monday. Pence did not attend the news conference.

Trump noted that the country’s new coronavirus testing capacity is growing, with more than 10 million people expected to be tested by the end of this week.

A senior White House official said close contact was being traced inside the White House after vice President mike pence’s press secretary, Katie miller, tested positive for a novel coronavirus. All of the people mueller came into contact with tested negative, including her husband, Stephen mueller, a senior adviser to the President of the United States.

A novel coronavirus infected several workers close to President Donald trump and his inner circle, raising concerns that the virus could spread in the inner circle of the White House.

The White House is rapidly increasing testing of people around Mr. Trump after the personal assistant of his daughter ivanka trump tested positive for the coronavirus.

On April 11, local time, US President Donald trump approved Wyoming as a “state of major disaster” for covid-19. For the first time in U.S. history, all 50 states, Washington, d.c. and the four overseas territories of the U.S. virgin islands, northern mariana islands, Guam and Puerto Rico are in a “state of major disaster.”

Iran is the latest country to have more than 100,000 confirmed cases in 10 countries. Worldometers world real-time statistics, as of 9 PM Beijing time on May 12, 24 points, Spain COVID – 19 accumulative total of 268143 cases of the patients, the diagnosis of 223060 cases, Russia has confirmed 221344 cases, Italy has confirmed 219814 cases, confirmed 177423 cases of France, and Germany has confirmed 172576 cases, Brazil has confirmed 168331 cases, Turkey has confirmed 139771 cases, Iran has confirmed 109286 cases, India has confirmed 70768 cases, A total of 69,981 cases have been confirmed in Canada, 68,822 in Peru and 53,449 in Belgium.

The world health organization (WHO) on May 11 called on countries to remain vigilant against the virus and take rapid measures to contain it if cases rebound, as countries have been gradually relaxing their measures to control the covid-19 outbreak. Who director-general tedros tedros said at a video press conference Monday that tests showed only a small number of people were carrying novel coronavirus antibodies, meaning most people were still susceptible to the virus. Comprehensive control measures are the most effective way to deal with the virus until a vaccine is developed.

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