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Yahoo
04-08-2025
- Business
- Yahoo
Dollar Under Pressure as Fed Rate Cut Expectations Increase
The dollar index (DXY00) today added to last Friday's losses and is down by -0.43%. The dollar is falling today on negative carryover from last Friday's weaker-than-expected US payroll and ISM manufacturing reports, which bolstered speculation that the Fed may cut interest rates as soon as next month. Also, questions about Fed credibility are weighing on the dollar after Fed Governor Adriana Kugler resigned last Friday, which could prompt President Trump to nominate a new governor who is more dovish and could undermine Fed Chair Powell's influence. Strength in stocks today has also reduced liquidity demand for the dollar. US June factory orders fell -4.8% m/m, right on expectations and the biggest decline in more than 5 years. However, June factory orders ex-transportation rose +0.4% m/m, stronger than the expectations of +0.3% m/m and the largest increase in 7 months. More News from Barchart Tired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Sign up now! Federal funds futures prices are discounting the chances for a -25 bp rate cut at 90% at the September 16-17 FOMC meeting and 73% at the following meeting on October 28-29. EUR/USD (^EURUSD) today is down by -0.08%. The euro is modestly lower today after the Eurozone Aug Sentix investor confidence index unexpectedly declined. Also, today's fall in the 10-year German bund yield to a 1-month low has weakened the euro's interest rate differentials. In addition, the euro is struggling due to concerns that President Trump's tariff policies will curb economic growth in the Eurozone. The Eurozone Aug Sentix investor confidence index unexpectedly fell -8.2 to -3.7, weaker than expectations of an increase to 6.9. Swaps are pricing in a 16% chance of a -25 bp rate cut by the ECB at the September 11 policy meeting. USD/JPY (^USDJPY) today added to last Friday's sharp losses and is down by -0.21%. The yen rallied to a 1-week high against the dollar today after the Nikkei Stock index fell to a 1.5-week low, which spurred some safe-haven buying of the yen. Also, today's slide in T-note yields is supportive of the yen. December gold (GCZ25) today is up +33.80 (+0.99%), and September silver (SIU25) is up +0.411 (+1.11%). Precious metals are climbing today, with gold prices rising to a 1-week high. Today's dollar weakness is bullish for metals. Precious metals also have carryover support from last Friday's weaker-than-expected US July payroll and July ISM manufacturing reports, which boosted speculation that the Fed may cut interest rates as soon as next month. The chance of a Fed interest rate cut at the September FOMC meeting has risen to 90% from 40% before the reports. Precious metals prices also have safe-haven support on concerns that President Trump's tariff policies will weigh on global economic growth prospects. Finally, precious metals continue to receive safe-haven support from geopolitical risks, including the conflicts in Ukraine and the Middle East. On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on
Yahoo
31-07-2025
- Business
- Yahoo
Stocks Retreat Ahead of Results from Wednesday's FOMC Meeting
The S&P 500 Index ($SPX) (SPY) Tuesday closed down -0.30%, the Dow Jones Industrials Index ($DOWI) (DIA) closed down -0.46%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down -0.21%. September E-mini S&P futures (ESU25) fell -0.30%, and September E-mini Nasdaq futures (NQU25) fell -0.22%. Stock indexes gave up early gains on Tuesday and settled lower. Long liquidation pressures weighed on stocks Tuesday ahead of several market-moving events this week, including the conclusion of the 2-day FOMC meeting on Wednesday and post-meeting comments from Fed Chair Powell, earnings results from four megacap tech companies on Wednesday and Thursday, and Friday's monthly US jobs report. More News from Barchart Here's What Happened the Last Time Novo Nordisk Stock Was This Oversold Tesla Just Signed a Chip Supply Deal with Samsung. What Does That Mean for TSLA Stock? Dear Microsoft Stock Fans, Mark Your Calendars for Aug. 1 Get exclusive insights with the FREE Barchart Brief newsletter. Subscribe now for quick, incisive midday market analysis you won't find anywhere else. Stock indexes on Tuesday initially moved higher, with the S&P 500 and Nasdaq 100 posting new record highs. Better-than-expected quarterly corporate earnings results and positive trade news are supporting gains in stocks. Commerce Secretary Lutnick said a 90-day extension of a trade truce with China was a likely outcome with negotiations between the two countries underway in Stockholm. Stocks also found some support from Tuesday's US economic news that showed the Jun advance goods trade deficit unexpectedly shrank to -$86.0 billion versus expectations of a widening to -$98.0 billion, a positive factor for Q2 GDP. However, stocks fell back on other mixed US economic news that showed Jun JOLTS job openings fell more than expected, but the Jul consumer confidence index rose more than expected. Also, a -7% fall in UnitedHealth Group weighed on the Dow Jones Industrial Average after it reported weaker-than-expected Q2 adjusted EPS and forecasted full-year adjusted EPS below consensus. M&A activity was also supportive of stocks after Union Pacific agreed to acquire Norfolk Southern for about $85 billion, or around $320 a share. Also, Baker Hughes acquired Chart Industries for $9.6 billion, or about $210 a share. The US May S&P CoreLogic composite-20 home price index rose +2.79% y/y, weaker than expectations of +2.91% and the smallest pace of increase in 1.75 years. US Jun JOLTS job openings fell -275,000 to 7.437 million, weaker than expectations of 7.500 million. The Conference Board US Jul consumer confidence index rose +2.0 to 97.2, stronger than expectations of 96.0. The markets this week will focus on any news of new trade deals before Friday's deadline. The 2-day FOMC meeting began on Tuesday, and the Fed is expected to keep the fed funds target range unchanged at 4.25% to 4.50% when the meeting ends on Wednesday. Also on Wednesday, the Jul ADP employment change is expected to climb by +80,000. Finally, on Wednesday, Q2 GDP is expected to expand by +2.4% (q/q annualized) and the Q2 core PCE price index is expected to ease to +2.3% from +3.5% in Q1. On Thursday, initial weekly unemployment claims are expected to rise by 6,000 to 223,000, and the Q2 employment cost index is expected to increase by 0.8%. Also, Jun personal spending is expected to climb +0.4% m/m and Jun personal income is expected to rise +0.3% m/m. In addition, the Jun core PCE price index, the Fed's preferred inflation gauge, is expected to climb +0.3% m/m and +2.7% y/y. Finally, on Thursday, the Jul MNI Chicago PMI is expected to increase by +1.6 to 42.0. On Friday, Jul nonfarm payrolls are expected to increase by +109,000 and the Jul unemployment rate is expected to rise by +0.1 to 4.2%. Also, Jul average hourly earnings are expected +0.3% m/m and +3.8% y/y. In addition, the Jul ISM manufacturing index is expected to increase by +0.2 to 49.5. Finally, the University of Michigan Jul consumer sentiment index is expected to be unrevised at 61.8. The markets are awaiting President Trump's August 1 deadline for trade deals to avoid high tariffs. On July 16, Mr. Trump announced that he intends to send a tariff letter to more than 150 countries, notifying them that their tariff rates could be 10% or 15%, effective August 1. As an update, Mr. Trump last Wednesday said, "We'll have a straight, simple tariff of anywhere between 15% and 50%," an indication that the floor for tariffs is rising and suggesting that he would not go below 15%. Federal funds futures prices are discounting the chances for a -25 bp rate cut at 2% at the Tue/Wed FOMC meeting and 66% at the following meeting on September 16-17. This week kicks off the earnings season's busiest week, with 38% of the stocks in the S&P 500 reporting quarterly earnings, double the amount reported last week. The earnings results of Magnificent Seven members will be front and center, with Microsoft and Meta Platforms reporting on Wednesday and Apple and reporting on Thursday. Early results show that S&P 500 earnings are on track to rise +4.5% for the second quarter, better than the pre-season expectations of +2.8% y/y, according to Bloomberg Intelligence. With about a third of S&P 500 firms having reported, around 82% exceeded profit estimates. Overseas stock markets on Tuesday settled mixed. The Euro Stoxx 50 closed up +0.78%. China's Shanghai Composite closed up +0.33%. Japan's Nikkei Stock 225 closed down -0.79%. Interest Rates September 10-year T-notes (ZNU25) on Tuesday closed up +19 ticks. The 10-year T-note yield fell -7.8 bp to 4.332%. Sep T-notes rallied to a 1-week high Tuesday, and the 10-year T-note yield fell to a 2.5-week low of 4.322%. T-notes moved higher on Tuesday after the Jun JOLTS job openings fell more than expected, a dovish factor for Fed policy. T-notes extended their gains Tuesday afternoon on strong demand for the Treasury's $44 billion auction of 7-year T-notes that had a bid-to-cover ratio of 2.79, well above the 10-auction average of 2.64 and the highest in more than 12 years. European government bond yields on Tuesday were mixed. The 10-year German bund yield rose +1.9 bp to 2.708%. The 10-year UK gilt yield fell from a 1-week high of 4.681% and finished down -1.4 bp to 4.633%. The ECB's Jun 1-year inflation expectations eased to +2.6% from 2.8% in May. The ECB's Jun 3-year inflation expectations were unchanged from May at +2.4%. Swaps are discounting the chances at 14% for a -25 bp rate cut by the ECB at the September 11 policy meeting. US Stock Movers Whirlpool (WHR) closed down more than -13% after reporting Q2 net sales of $3.77 billion, below the consensus of $3.85 billion, and cutting its full-year EPS forecast to $6.00-$8.00 from a previous estimate of about $10, well below the consensus of $8.78. Carrier Global (CARR) closed down more than -10% to lead losers in the S&P 500 after forecasting full-year free cash flow of $2.4 billion to $2.6 billion, the midpoint below the consensus of $2.55 billion. United Parcel Service (UPS) closed down more than -10% after it pulled guidance for the year, citing "current macro-economic uncertainty." Brown & Brown (BRO) closed down more than -10% after reporting Q2 organic revenue rose +3.60%, weaker than the consensus of +5.63%. PayPal Holdings (PYPL) closed down more than -8% to lead losers in the Nasdaq 100 after reporting Q2 checkout volumes rose 5% q/q, down from a 6% increase in Q1, with company executives saying they were seeing softer retail spending as a result of the US tariff wars. UnitedHealth Group (UNH) closed down more than -7% to lead losers in the Dow Jones Industrials after reporting Q2 adjusted EPS of $4.08, weaker than the consensus of $4.59, and forecasting full-year adjusted EPS of at least $16, well below the consensus of $20.40. Stanley Black & Decker (SWK) closed down more than -7% after reporting Q2 net sales of $3.95 billion, weaker than the consensus of $4.00 billion. Royal Caribbean Cruises Ltd (RCL) closed down more than -5% after forecasting Q3 adjusted EPS of $5.55-$5.65, weaker than the consensus of $5.84. Amkor Technology (AMKR) closed up more than +18% after reporting Q2 net sales of $1.51 billion, better than the consensus of $1.42 billion, and forecast Q3 net sales of $1.88 billion-$1.98 billion, well above the consensus of $1.76 billion. Chart Industries (GTLS) closed up more than +16% after Baker Hughes acquired the company for $13.6 billion, or about $210 a share. Sarepta Therapeutics (SRPT) closed up more than +14% after US regulators recommended that patients who can walk be allowed to take the company's gene therapy Elevidys again. Corning (GLW) closed up more than +11% to lead gainers in the S&P 500 after reporting Q2 core EPS of 60 cents, above the consensus of 57 cents, and forecasting Q3 core EPS of 63 cents-67 cents, better than the consensus of 62 cents. Cadence Design Systems (CDNS) closed up more than +9% to lead gainers in the Nasdaq 100 after reporting Q2 revenue of $1.28 billion, above the consensus of $1.25 billion, and raised its full-year revenue forecast to $5.21 billion-$5.27 billion from a previous estimate of $5.15 billion-$5.23 billion, stronger than the consensus of $5.20 billion. CBRE Group (CBRE) closed up more than +7% after reporting Q2 revenue of $9.75 billion, stronger than the consensus of $9.43 billion, and raising its full-year core EPS estimate to $6.10-$6.20 from a previous estimate of $5.80-$6.10. Universal Health Services (UHS) closed up more than +5% after reporting Q2 net revenue of $4.28 billion, better than the consensus of $4.23 billion, and raising its full-year net revenue estimate to $17.10 billion-$17.31 billion from a previous estimate of $17.02 billion-$17.36 billion. Earnings Reports (7/30/2025) Albemarle Corp (ALB), Align Technology Inc (ALGN), Allstate Corp/The (ALL), Altria Group Inc (MO), American Electric Power Co Inc (AEP), American Water Works Co Inc (AWK), Automatic Data Processing Inc (ADP), AvalonBay Communities Inc (AVB), Bunge Global SA (BG), CH Robinson Worldwide Inc (CHRW), Cognizant Technology Solutions (CTSH), Dexcom Inc (DXCM), eBay Inc (EBAY), Entergy Corp (ETR), Equinix Inc (EQIX), Everest Group Ltd (EG), Extra Space Storage Inc (EXR), F5 Inc (FFIV), Fair Isaac Corp (FICO), FirstEnergy Corp (FE), Ford Motor Co (F), Fortive Corp (FTV), Garmin Ltd (GRMN), GE HealthCare Technologies Inc (GEHC), Generac Holdings Inc (GNRC), Hershey Co/The (HSY), Hologic Inc (HOLX), Host Hotels & Resorts Inc (HST), Humana Inc (HUM), IDEX Corp (IEX), Illinois Tool Works Inc (ITW), Invitation Homes Inc (INVH), Kraft Heinz Co/The (KHC), Lam Research Corp (LRCX), Meta Platforms Inc (META), MGM Resorts International (MGM), Microsoft Corp (MSFT), Mid-America Apartment Communities (MAA), Old Dominion Freight Line Inc (ODFL), Prudential Financial Inc (PRU), PTC Inc (PTC), Public Storage (PSA), QUALCOMM Inc (QCOM), Smurfit WestRock PLC (SW), Trane Technologies PLC (TT), Tyler Technologies Inc (TYL), UDR Inc (UDR), Ventas Inc (VTR), Verisk Analytics Inc (VRSK), VICI Properties Inc (VICI), WEC Energy Group Inc (WEC), Western Digital Corp (WDC). On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Sign in to access your portfolio
Wall Street Journal
15-07-2025
- Business
- Wall Street Journal
Gold Rises Ahead of U.S. Inflation Data
0812 GMT – Gold prices rise in early trade, with futures are up 0.4% to $3,371.50 a troy ounce ahead of key U.S. inflation data due later on Tuesday. 'Today's CPI print matters given all the recent tariff volatility and new calls to replace Fed Chair Powell,' analysts at Peak Trading Research say. The data is expected to provide further clues on the path of U.S. interest rates, with markets expecting cuts by year-end. Prices are also supported by demand for safer assets amid escalating tariff tensions, with traders closely monitoring developments in trade talks before the Aug. 1 deadline. 'Investors are in 'show me, don't tell me' mode regarding Trump's new tariff announcements,' the analysts say. ( 0823 GMT – London copper prices fall in early trade, with three-month futures down 0.3% to $9,616 a metric ton as looming U.S. tariffs shift global demand dynamics. 'LME copper prices fell below $9,600 a ton yesterday as requests to withdraw copper from the LME warehouses dropped by 25,100 tons to 15,875 tons,' analysts at ING say. 'This is the biggest decline since March 2019, driven by the re-warranting of metal in South Korea's Gwangyang port and Taiwan.' U.S. buyers have rushed to stockpile copper from international warehouses ahead of the 50% tariff set for Aug. 1, with copper holdings in Comex-registered warehouses more than doubling in the second quarter. As the deadline nears, this rush is slowing, reducing demand for copper from other regions and adding downward pressure on LME prices, according to ING. (
Yahoo
03-07-2025
- Business
- Yahoo
Dollar Slips on Trade Uncertainty and Rising US Deficits
The dollar index (DXY00) on Tuesday fell by -0.13%. The dollar on Tuesday added to Monday's losses and posted a 3-1/3 year low. The dollar remains under pressure due to uncertainties over US trade policies, with many nations trying to negotiate trade deals with the US before President Trump's July 9 deadline. Also, rising deficits are bearish for the dollar as the Congressional Budget Office estimates the Republicans' reconciliation bill making its way through Congress would add nearly $3.3 trillion to US budget deficits over the next ten years. The dollar recovered most of its losses on Tuesday's stronger-than-expected ISM manufacturing and JOLTS job openings reports. Barchart- Commodity Market Roundup- June's Top Performers and Underperformers Dollar Weakens and Gold Soars on Trade Uncertainty Dollar Slips on Trade Uncertainty and Rising US Deficits Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. The US June ISM manufacturing index rose +0.5 to 49.0, stronger than expectations of 48.8. Also, the June ISM prices paid sub-index rose +0.3 to 69.7, stronger than expectations of 69.5. US May JOLTS job openings unexpectedly rose +374,000 to a 6-month high of 7.769 million, showing a stronger labor market than expectations of a decline to 7.300 million. Fed Chair Powell said he expects the impacts of tariffs to show up in inflation data over the coming months, but the impact could be "higher or lower, or later or sooner than we expected." The markets are discounting a 21% chance of a -25 bp rate cut at the July 29-30 FOMC meeting. EUR/USD (^EURUSD) Tuesday fell by -0.01%. The euro fell from a 3-3/4 year high on Tuesday and posted modest losses. The euro came under pressure due to comments from ECB Governing Council member Kazaks, who said significant gains for the euro could warrant another ECB rate cut. Also, Tuesday's inflation news was dovish on balance and was bearish for the euro. The euro initially moved higher on Tuesday due to the dollar's broad weakness. The euro also garnered support from Tuesday's economic news, which showed an upward revision to the Eurozone's June manufacturing PMI and stronger-than-expected German labor market data. In addition, hawkish comments from ECB Governing Council member Muller were positive for the euro when he said he was not in favor of additional ECB interest rate cuts. The Eurozone June CPI edged up to +2.0% y/y from +1.9% y/y in May, right on expectations. The June core CPI was unchanged from May at +2.3% y/y, right on expectations. The ECB May 1-year CPI inflation expectations unexpectedly eased to +2.8% from +3.1% in Apr, versus expectations of no change at +3.1%. The May 3-year CPI expectations unexpectedly eased to +2.4% from +2.5% in Apr, versus expectations of no change at +2.5%. The Eurozone Jun manufacturing PMI was revised upward by +0.1 to 49.5 from the previously reported 49.4. The German June unemployment change rose by +11,000, showing a stronger labor market than expectations of +15,000. The June unemployment rate was unchanged at 6.3%, showing a stronger labor market than expectations of an increase to 6.4%. ECB Governing Council member Kazaks said, "If the euro were to significantly appreciate further, it could weigh down on inflation and exports, which could tilt the balance toward another ECB interest rate cut." ECB Governing Council member Muller said, "For the moment it's not obvious to me that the ECB needs to go into expansionary territory, so it's quite reasonable for now to keep interest rates where they are." Swaps are pricing in a 6% chance of a -25 bp rate cut by the ECB at the July 24 policy meeting. USD/JPY (^USDJPY) Tuesday fell by -0.22%. The yen climbed to a 3-1/2 week high against the dollar on Tuesday. Strength in Tuesday's Japanese economic news supported the yen after the June consumer confidence index rose more than expected to a 4-month high and the Tankan Q2 large manufacturing business conditions survey unexpectedly increased. The yen gave up over half of its gains after T-note yields moved higher on better-than-expected US economic news. The Japan June consumer confidence index rose +1.7 to a 4-month high of 34.5, stronger than expectations of 33.5. The Japan Tankan Q2 large manufacturing business conditions survey unexpectedly rose by +1 from Q1 to 13, stronger than expectations of a decline to 10. August gold (GCQ25) Tuesday closed up +42.10 (+1.27%), and September silver (SIU25) closed up by +0.225 (+0.62%). Precious metals on Tuesday settled higher. Tuesday's selloff in the dollar index to a 3-1/3 year low propelled metals prices higher. Gold also has support as a store of value due to concerns that President Trump's reconciliation bill will increase the US budget deficit by $3.3 trillion over the next ten years, according to the CBO. In addition, trade uncertainty has boosted demand for safe-haven assets, including precious metals, as nations scramble to negotiate trade deals with the US before President Trump's July 9 deadline. Precious metals fell back from their best levels on Tuesday, following stronger-than-expected US economic news, including the June ISM manufacturing and May JOLTS job openings reports, which are hawkish factors for Fed policy. Silver prices found support on Tuesday's global economic news that showed stronger than expected US and Eurozone manufacturing activity, a positive factor for industrial metals demand. Fund buying of silver continues to support prices after silver holdings in ETFs rose to a 2-3/4 year high Monday. On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
01-07-2025
- Business
- Yahoo
Dollar Weakens and Gold Soars on Trade Uncertainty
The dollar index (DXY00) today is down by -0.32%. The dollar today added to Monday's losses and posted a 3-1/3 year low. The dollar remains under pressure due to uncertainties over US trade policies, with many nations trying to negotiate trade deals with the US before President Trump's July 9 deadline. Also, rising deficits are bearish for the dollar as the Congressional Budget Office estimates the Republicans' reconciliation bill making its way through Congress would add nearly $3.3 trillion to US budget deficits over the next ten years. The dollar recovered most of its losses on today's stronger-than-expected ISM manufacturing and JOLTS job openings reports. Cocoa Prices Are Stuck Against Key Resistance Levels. Is a Breakout Possible Here? Dollar Tumbles into Quarter End Dollar Weakens and Gold Soars on Trade Uncertainty Our exclusive Barchart Brief newsletter is your FREE midday guide to what's moving stocks, sectors, and investor sentiment - delivered right when you need the info most. Subscribe today! The US June ISM manufacturing index rose +0.5 to 49.0, stronger than expectations of 48.8. Also, the June ISM prices paid sub-index rose +0.3 to 69.7, stronger than expectations of 69.5. US May JOLTS job openings unexpectedly rose +374,000 to a 6-month high of 7.769 million, showing a stronger labor market than expectations of a decline to 7.300 million. Fed Chair Powell said he expects the impacts of tariffs to show up in inflation data over the coming months, but the impact could be 'higher or lower, or later or sooner than we expected.' The markets are discounting a 21% chance of a -25 bp rate cut at the July 29-30 FOMC meeting. EUR/USD (^EURUSD) today is up by +0.10% and posted a new 3-3/4 year high. The euro has moved higher for nine consecutive sessions as the dollar's broad weakness benefits the euro. The euro also garnered support from today's economic news that showed an upward revision to the Eurozone June manufacturing PMI and stronger-than-expected German labor market news. The euro fell back from its best levels on comments from ECB Governing Council member Kazaks, who said significant gains for the euro could warrant another ECB rate cut. Also, today's inflation news was dovish on balance and was bearish for the euro. The Eurozone June CPI edged up to +2.0% y/y from +1.9% y/y in May, right on expectations. The June core CPI was unchanged from May at +2.3% y/y, right on expectations. The ECB May 1-year CPI inflation expectations unexpectedly eased to +2.8% from +3.1% in Apr versus expectations of no change at +3.1%. The May 3-year CPI expectations unexpectedly eased to +2.4% from +2.5% in Apr versus expectations of no change at +2.5%. The Eurozone Jun manufacturing PMI was revised upward by +0.1 to 49.5 from the previously reported 49.4. The German June unemployment change rose +11,000, showing a stronger labor market than expectations of +15,000. The June unemployment rate was unchanged at 6.3%, showing a stronger labor market than expectations of an increase to 6.4%. ECB Governing Council member Kazaks said, 'If the euro were to significantly appreciate further, it could weigh down on inflation and exports, which could tilt the balance toward another ECB interest rate cut.' Swaps are pricing in a 6% chance of a -25 bp rate cut by the ECB at the July 24 policy meeting. USD/JPY (^USDJPY) today is down by -0.51%. The yen climbed to a 3-1/2 week high against the dollar today. Strength in Japanese economic news is supporting the yen after the June consumer confidence index rose more than expected to a 4-month high and the Tankan Q2 large manufacturing business conditions survey unexpectedly increased. The yen gave up some of its gains after T-note yields moved higher on better-than-expected US economic news. The Japan June consumer confidence index rose +1.7 to a 4-month high of 34.5, stronger than expectations of 33.5. The Japan Tankan Q2 large manufacturing business conditions survey unexpectedly rose by +1 from Q1 to 13, stronger than expectations of a decline to 10. August gold (GCQ25) today is up +54.10 (+1.64%), and September silver (SIU25) is up by +0.408 (+1.13%). Precious metals today are sharply higher. Today's selloff in the dollar index to a 3-1/3 year low is propelling metals prices higher. Gold also has support as a store of value due to concerns that President Trump's reconciliation bill will increase the US budget deficit by $3.3 trillion over the next ten years, according to the CBO. In addition, trade uncertainty has boosted demand for safe-haven assets, including precious metals, as nations scramble to negotiate trade deals with the US before President Trump's July 9 deadline. Silver prices found support on today's global economic news that showed stronger than expected US and Eurozone manufacturing activity, a positive factor for industrial metals demand. Fund buying of silver continues to support prices after silver holdings in ETFs rose to a 2-3/4 year high Monday. On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
