Gold rise in morning trading
Gold rose lightly in Asian trade on Tuesday as investors looked forward to a more cautious on Fed policy this week, which is scheduled for release on Tuesday and Wednesday.
On the Comex division of the New York Mercantile Exchange, gold for August delivery rose 0.24% to $ 1,295.50 per troy ounce. Silver for July delivery, rose 0.18% to $ 17.545 per troy ounce, while copper for July delivery edged up 0.24% to $ 2.93 per pound.
Overnight, gold has declined in trading Monday night amid easing concerns Brexit, as a surge in global stock markets and crude oil futures prices weighed heavily on safe-haven assets.
In the euro area, the main stock index surged on Monday as the England camp that wants to survive in Europe shifted from the support over the weekend ahead of a controversial referendum this weekend.
Precious metals traders waited two days for a speech on monetary policy by the Federal Reserve chairman, Janet Yellen on Capitol Hill for further indications about potential delays from the US central bank at the time of the next rate hike. Last Wednesday, the Federal Open Market Committee (FOMC) voted to keep interest rates in a slowing labor market conditions during the previous two months. The market responded by lowering the possibility of tightening monetary policy until December.
Elsewhere, investors continued observed the Indian rupee currency fluctuations after Raghuram Rajan, head of the Central Bank of India announced on the weekend that he would not seek another monetary policy.
Technically
Resistance: 1292.12 1294.03 1295.35 High / Low: 1315.15 / 1274.86
Support: 1289.18 1287.27 1286.67 Running Price: 1291.50
Comment: For intraday trade today suggest Buy at 1294.84; stop loss at 1292.80; target at 1298.88.
Yen continued to strengthen
The yen rose in Asian trade on Tuesday after the central bank released the minutes of the board meeting that the results are dubious prospects for sustained inflation plus pound fell as investors keep an eye on this week Brexit.
USD / JPY was changing hands at 103.66, down 0.27%, while the AUD / USD was trading at 0.7460, up 0.03%. GBP / USD edged down 0.17% to 1.4667.
Going forward, the Reserve Bank of Australia will release the minutes of its June meeting where he held the cash rate steady at a record low of 1.75%.
Earlier, minutes from the Bank of Japan’s meeting Me released Tuesday showed a more cautious among council members on the ability to hit the 2% inflation sustained through aggressive easing.
The US dollar index, which measures the strength of the dollar against six other major currencies, was down 0.09% to 93.60.
Overnight, the dollar continued to hover at one-week lows against the other major currencies on Monday, as concerns over the potential release of the UK from the European Union, or Brexit, subside, this improved market sentiment.
Brexit concerns eased after two polls published on Saturday showed that support for the campaign to survive in Europe has again got the lead over the sound to leave, while the third shows the momentum shift in favor of the sound to remain in the 28-member bloc.
Investors are now eyeing a speech on monetary policy by the Fed Chairman Janet Yellen, which will be released on Tuesday and Wednesday.
Technically
Resistance: 104.00 104.17 104.27 High / Low: 104.78 / 103.53
Support: Running 103.53 103.32 102.90 Price: 103.66
Comment: For intraday trade today suggest sell at 103.50; stop loss at 104.00; target at 103.00.
Nikkei index improved reinforcement triggered by Yen
In stock exchange trading on Tuesday morning, the Nikkei index rose 365.64 points, or 2.34 percent, at 15165.30. Strengthening the Nikkei index triggered the weakening yen.
Currency safe-haven yen weakened as falling Brexit concerns. The currency pair Dollar AS / yen observed rose 0.53 percent at 104.00.
A YouGov poll on the possible British exit from Europe to the newspaper The Sunday Times published at the weekend showed support for the sound of “fixed” in Europe has been rigorously to 44 percent against 43 percent for the sound of “left” of Europe, based on a poll conducted in Thursday and Friday.
A weaker yen is usually positive for exporters because adding their overseas profits when converted into local currency.
Shares of major exports receive a boost from the relative weakness of the yen, with Toyota shares rose 2.21 percent, Nissan shares gained 2.57 percent and Sony shares higher by 3.86 percent.
The share price of rubber manufacturers rose, with Yokohama Rubber Co. began to improve, up to 4.5 percent.
As for the Nikkei index futures tracked rose 390.00 points or 2.51% at 15.920, up compared to the previous closing at 15.530.
Technically
Resistance: 15840 15902 15940 High / Low: 16045/15226
Support: 15780 15753 15 690 Running Price: 15 835
Comment: For intraday trade today suggest Buy at 15952; stop loss at 15 844; target at 16250.
