Daily Gold News: Feb. 15 – Gold Extends Short-Term Downtrend

Gold price broke below $1,850 following yesterday’s monthly inflation number release.

The gold futures contract gained 0.10% on Tuesday, Feb. 14, as it fluctuated following the consumer inflation number release. The market extended its downtrend and the daily low was just above the $1,850 level yesterday. Last week on Thursday it broke below the short-term trading range and since then it has been slowly declining. On February 2 gold reached new medium-term high of $1,975.02 and then it went below the $1,900 level. The market retraced its month-long advance on renewed monetary policy tightening fears. In early January the yellow metal has been advancing on weaker U.S. dollar and then it fluctuated after Central Banks’ monetary policy releases, stock markets’ volatility. Today gold is extending the downtrend, as we can see on the daily chart (the chart includes today’s intraday data):

The gold price is 1.0% lower this morning, as for the first time since early January it is trading below the $1,850 level. What about the other precious metals? Silver is 1.7% lower, platinum is 0.8% lower and palladium is 2.1% lower. So the main precious metals’ prices are lower this morning.

Yesterday’ Consumer Price Index release has been as expected at +0.5% m/m and the core number has also been as expected at +0.4%. Today we will get the important Retail Sales along with the Empire State Manufacturing Index releases at 8:30 a.m., among others.

Below you will find our Gold, Silver, and Mining Stocks economic news schedule for the next two trading days.

Wednesday, February 15

  • 2:00 a.m. U.K. - CPI y/y, Core CPI y/y
  • 8:30 a.m. U.S. - Retail Sales m/m, Core Retail Sales m/m, Empire State Manufacturing Index
  • 9:00 a.m. Eurozone - ECB President Lagarde Speech
  • 9:15 a.m. U.S. - Industrial Production m/m, Capacity Utilization Rate
  • 10:00 a.m. U.S. - Business Inventories m/m, NAHB Housing Market Index
  • 4:00 p.m. U.S. - TIC Long-Term Purchases
  • 7:30 p.m. Australia - Employment Change, Unemployment Rate

Thursday, February 16

  • 8:30 a.m. U.S. - PPI m/m, Core PPI m/m, Philly Fed Manufacturing Index, Unemployment Claims, Building Permits, Housing Starts
  • 4:00 p.m. U.S. - FOMC Member Cook Speech
  • 5:30 p.m. Australia - RBA Governor Lowe Speech
  • Tentative, U.S. - Mortgage Delinquencies

Paul Rejczak
Stock Trading Strategist