Today’s given signal : https://t.me/calendarsignal/10796
Higher ADP Data
When ADP data is released, it can provide insights into the strength of the job market and the overall economic activity. If the data shows a strong increase in employment, it may indicate positive economic conditions, which are typically associated with higher interest rates. This, in turn, can put downward pressure on Gold prices.
Higher ADP data can signal to investors that the Federal Reserve may be more inclined to raise interest rates. Gold is typically seen as a hedge against inflation and higher interest rates, as it reduces its attractiveness as a store of value. Therefore, when the outlook for interest rates becomes more hawkish, Gold Prices may decline.
Hawkish Speech by Federal Reserve Chair Jerome Powell
Hawkish speeches by Federal Reserve Chair Jerome Powell can have a significant impact on gold prices. When Powell expresses a hawkish tone, it indicates a willingness to raise interest rates. This, in turn, can weigh on gold prices as investors may perceive higher interest rates as less attractive compared to yield-bearing assets.
Powell’s hawkish speeches can also impact gold prices by influencing investor sentiment. If Powell expresses confidence in the US economy and signals that interest rates are likely to rise, it may cause investors to reassess their gold holdings. They may sell their gold positions in Favor of assets that offer higher returns.
Impact on XAUUSD
When both events occur simultaneously, the impact on XAUUSD can be more significant. The combination of stronger economic data and hawkish sentiment can increase the likelihood of interest rates rising, which can make it less attractive to invest in gold. This, in turn, can lead to a decline in the XAUUSD currency pair.
Previous released data results :
On last ADP data (31-1-2024) we predict to BUY XAUUSD as for bad Data price was raised.
Check the previous blog : https://blog.forextrade1.com/understanding-the-impact-of-us-adp-data-on-gold-pair-31-1-2014/
Check last given signal : https://t.me/calendarsignal/10368
Performance :
Where to contact us :
Website : www.forextrade1.co
Twitter : www.twitter.com/forextrade11
Telegram : telegram.me/ftrade1
Facebook : www.facebook.com/Forextrade01
Instagram : www.instagram.com/forextrade1
YouTube : www.youtube.com/ForexTrade1
Skype : [email protected]
Email ID : [email protected]
Discord : https://discord.gg/vEk98ZvrHP
LinkedIn : https://www.linkedin.com/company/forextrade11
The post Impact of Powell’s speech and ADP data on the gold pair – 6-3-2024 appeared first on ForexTrade1.
