GOLD - Pin Drop Silence For Markets Ahead Of US CPI Data. Gold Traders Are In A Zombie Mode | Benzinga
European and US futures are trading cautiously higher as traders wait for the most important economic data for this week, which is the US CPI number. Yesterday, the Fed Chairman, Jerome Powell, displayed his disappointments with respect to inflation and especially its progress over the last few months. Another disappointing reading for the US CPI data could make investors and traders lose their confidence, who are very optimistic that the Fed has no other option but to lower the interest rate as the employment market in the US has started to show weakness.
Yesterday, we saw another positive day for the Nasdaq index, which jumped to a record close and scored gains of 0.75%. The Dow Jones Industrial Average also recovered some of its losses, moving higher by 0.32%, while the S&P 500 index added 0.8%. All of this happened on the back of the US PPI numbers, as well as somewhat hawkish commentary from the Fed Chairman. The thing about the US equity market is that there seems to be some disconnect between reality and what market players are expecting, and this is because inflation numbers continue to show their stubborn nature while the Fed is sending a message that they are comfortable with higher rates, but market players are of a different mind set, and for them, it is clear that the Fed cannot keep the rates ...