Non-farm countdown! Gold experiences drastic fluctuations, global markets face a critical test
On the eve of the significant non-farm report, the market is experiencing wild swings! Spot gold surged by $91.82 overnight, an increase of 1.85%, reported at $5057.89, and the European market slightly retreated to hover around $5051; silver skyrocketed over 7% in a single day, with precious metals showing signs of agitation across the board.
The three major U.S. stock indices collectively closed higher, with the Dow Jones reaching a new historical high; the Nikkei index soared by 2.77%, breaking through 57926 points to set a new record, as 'high market trading' continues to gain momentum, aiming for the 60000 point mark. Federal Reserve officials have been vocal, stating that tariffs have limited impact on the economy, with CME data showing a mere 17.7% probability of a rate cut in March, while the probability has risen to 50.4% in June. The White House is taking preemptive measures for the non-farm report, suggesting that a slowdown in employment should not cause panic, indirectly endorsing expectations for a rate cut.
The situation in the Middle East remains tense, as the U.S. warns commercial ships to stay away from Iranian territorial waters, with U.S. military intercepting oil tankers, and foreign ministers from eight countries jointly condemning Israel, leading to a rise in risk aversion sentiment.
From a technical perspective, gold is in a state of indecision on the 4-hour timeframe, with a soft trend and strong momentum fading away. Focus is on whether the critical support level of $5000 can be maintained. This week's non-farm report and CPI will set the tone for Federal Reserve policy, directly impacting the dollar, gold, and the overall cryptocurrency market.
The non-farm report is about to ignite the market, can gold maintain the $5000 threshold? Do you think this data will be bullish or bearish? Let's discuss in the comments!
