Daily Gold News: March 22 – Gold Price Retraced Fed Rally

Gold is trading way below $2,200 again; Powell’s speech in focus.

The gold futures contract gained 1.10% on Thursday, March 21, after reaching a new record high of $2,225.30 and then, getting back below the $2,200 level again. The market reacted to the Wednesday’s FOMC Rate Decision release.

Two weeks ago, gold as advancing in a reaction to economic data releases, weakening U.S. dollar and rallying stock prices. On February 14, gold was the lowest since mid-December, after breaking below local lows from January on the CPI release. Since then, it gained over $200.

This morning gold is trading lower, as we can see on the daily chart (the chart includes today’s intraday data):

Daily Gold News: March 22 – Gold Price Retraced Fed Rally - Image 1

The gold price is 0.7% lower, as it is trading along the $2,170 level. What about the other precious metals? Silver is 0.8% lower, platinum is 0.4% lower and palladium is 0.6% higher. So, the main precious metals’ prices are lower this morning.

Yesterday’s Flash Manufacturing PMI has been higher than expected at 52.5, and the Flash Services PMI number has been lower than expected at 51.7. Today we won’t get any new economic data, however, the markets will be waiting for the speech of the Fed Chair Powell at 9:00 a.m.

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

Friday, March 22

  • 3:00 a.m. U.K. - Retail Sales m/m
  • 5:00 a.m. Eurozone - German ifo Business Climate
  • 9:00 a.m. U.S. - Fed Chair Powell Speech
  • 12:00 p.m. U.S. - FOMC Member Barr Speech
  • 4:00 p.m. U.S. - FOMC Member Bostic Speech
  • All Day, Eurozone - Euro Summit

Monday, March 25

  • 8:25 a.m. U.S. - FOMC Member Bostic Speech
  • 10:00 a.m. U.S. - New Home Sales

Paul Rejczak
Stock Trading Strategist