Gold Revaluation is happening (quite literally) before our eyes
Today:
Commentary: Target Happy
Premium: Jefferies and ING on Gold
Equity Recap:
US equities rallied on Wednesday after the Federal Reserve left near-term rates unchanged, but Chair Powell said a rate cut "could be on the table as soon as the next meeting in September"
Premium Markets:
Jefferies Takes Note
It is worth noting that there has been of late initial evidence of inflows into Western gold ETFs. Gold ETFs’ holdings have risen by 52 tonnes or 2.1% from a recent low of 2,504 tonnes in mid-May to 2,556 tonnes, after declining from a recent high of 3,321 tonnes in April 2022 and a record high of 3,453 tonnes in October 2020, according to Bloomberg (see Exhibit 25).
It also should be noted that world central banks bought a net 290 tonnes of gold in 1Q24, after buying a record 1,082 tonnes in 2022 and 1,037 tonnes in 2023, according to World Gold Council data (see Exhibit 26).
The 2Q24 data is due to be released next week.
Full analysis at Bottom
Gold $2700 Target Practice
As it was at $2400…
So may it again be at $2700..
More charts at at bottom
Market News:
Meta "said quarterly digital advertising grew rapidly while the company’s investments in artificial intelligence and the so-called metaverse weighed on profits.Source: WSJ
"The Bank of Japan has lifted its benchmark interest rate to 0.25 per cent and outlined plans to halve its monthly bond purchases in a decisive move to tighten monetary policy. Source: FT
"Qualcomm, the world’s biggest seller of smartphone processors, saw a post-market rally sputter on Wednesday, fueled by concerns that the phone market is recovering more slowly than investors had hoped.ource: Bloomberg
Politics/Geopolitics:
Israel sent messages through diplomatic channels to Lebanon and Iran in which it stated that Israel is ready to go to the point of all-out war if Hezbollah and Iran respond in a way that will severely damage Israel, according to Israel's Channel 12 cited by Faytuks News on X.
US Deputy Representative to the Security Council said a wider war is neither imminent nor inevitable, according to Al Jazeera.
Israeli military confirmed death of Hamas military leader Deif in a July strike in Gaza, via a statement.
Chinese Foreign Ministry said China and India are to speed up the negotiation process for the border situation and continue to maintain peace and tranquillity in border areas.
Some headlines via NewSquawk or DataTrek
Data on Deck:
MONDAY, JULY 29 None scheduled
TUESDAY, JULY 30 10:00 am Consumer confidence July
WEDNESDAY, JULY 31 2:00 pm FOMC interest-rate decision
THURSDAY, AUG 1 PMI July ISM manufacturing July 48.8% 48.5%
FRIDAY, AUG. 2 8:30 am U.S. employment report July 190,000 206,000 8:30 am U.S. unemployment rate July 4.1% 4.1% 1
