Profit-Taking Waves Take Over Markets
Traders in markets are awaiting the release of the U.S. Class A fundamentals, known by the Non-farm Payroll reading; where expectations still point to more job losses throughout September, which could raise unemployment levels to 9.8%. On the other hand, the international monetary fund indicated in its latest statement that unemployment's rise could be the cause of weakness in growth throughout the needed recovery period, so that the global economy could come out of the economic recession in one piece. However, its expectations were similar to the fed's, which had pointed out that the recovery in the U.S. could pull its economy out of recession and return to recovery, which might take longer than markets already anticipated.
Precious metals witnessed major profit-taking processes yesterday, overshadowing markets; where gold declined 0.77% to close in New York trading at $999.90; whereas, silver declined 1.62% to close trading at $16.35; platinum closed yesterday at $1279.00 to 1.31%.
Precious metals today traded within a narrow range at 02:37 GMT, in yesterday's
In addition, major stock indices and commodity indices declined all around the world; S&P GSCI index decreased 1.09 to close at 459.66 andDOW Jones closed at 9509.28 levels, shedding about 2.09%.
We see that the U.S. dollar has been currently witnessing an incline versus a basket of foreign currencies, where traders are buying the dollar to take profit on portfolios and investments; whereas crude's price notably inclined in today's trading to stabilize at $70.00 per barrel. This mix between the U.S. dollar and crude's price was reflected in a worrisome manner within precious metal trading, causing more profit-taking transactions.
We notice that profit-taking waves on precious metals have not been so large, so it will fix speculations occurring within these markets; where we see precious metal owners, which have taken the metals as a safe haven, have not been generally gaining profits; caused by worries about the global economies future, pushing investors to keep some precautions, just incase anything happens to financial markets in the global economy.
Today, we witnessed precious metals facing strong fluctuations in light of