Bonda Asia: Expectations of Fed interest rate cuts still exist Gold rebounds significantly

Australian Federal Reserve President Michelle Bullock stated that since8Since the monthly meeting, economic data has consistently met or slightly exceeded expectations. Economists predict that the Reserve Bank of Australia will keep interest rates unchanged next week. Block told lawmakers on Monday that the inflation rate has "significantly" decreased and the labor market is approaching full employment. She stated that the committee will continue to monitor future economic data. She said, "Although the labor market situation has slightly eased and the unemployment rate has slightly increased since the last meeting, we assess that there is still a certain level of tension. We have made substantial progress in reducing inflation. However, our task is to ensure that inflation remains within the target range in a sustainable manner." The market generally expects the Reserve Bank of Australia to maintain interest rates at [insert level] next week3.6%unchanged.


In addition, James Bullard, the candidate for the next chairman of the Federal Reserve and former chairman of the St. Louis Fed, stated that he will not support this interest rate cut50A one basis point measure. Brad said in an interview last Friday, "I think the Fed's decision is the right one." When asked if he would vote for a rate cut50At one basis point, he replied, "No, I don't think so." He also said, "It looks like the Federal Reserve will cut interest rates three times in a row by the end of the year Brad said that a total of interest rate cuts will be made by the end of the year75A basis point would be a 'significant measure', but the Federal Reserve still has' selectivity 'when entering next year. He estimated that the so-called neutral interest rate, which neither stimulates nor suppresses the economy, would be around3.25%He said that for dovish people, this week's interest rate cut is necessary25Basis points and10Reduce interest rates again in the month25A basis point, almost equivalent to this week's interest rate cut50Just as good as one basis point.


The data that needs attention today is the United States8Monthly Chicago Fed National Activity Index Changes and Eurozone9Initial value of monthly consumer confidence index.


gold/dollar

Last Friday, gold rebounded significantly and recovered3680Gateway, spot exchange rate trading at3692Nearby. In addition to providing some support for gold through short covering, the Federal Reserve also has2The expectation of a second interest rate cut is also an important factor supporting the rebound of gold. In addition, the risk aversion triggered by geopolitical risks also provides strong support for safe haven gold. Today's Focus3710Nearby pressure situation, supported below3670Near.

AUD/dollar

Last Friday, the Australian dollar fluctuated downwards and fell0.6600Pass and refresh7Trading day low, spot exchange rate trading at0.6590Nearby. The sustained rebound of the US dollar index, supported by the landing of the Federal Reserve's interest rate cut boots and the release of hawkish signals, is the main reason for the pressure on the Australian dollar to weaken. In addition, the recent weak employment data in Australia has also continued to exert pressure on the exchange rate. Today's Focus0.6700Nearby pressure situation, supported below0.6500Near.

dollar/Cad

Last Friday USD/The Canadian dollar fluctuated downwards, with a slight decline in the daily chart. The current exchange rate is trading at1.3800Nearby. In addition to profit taking, which has exerted some pressure on the exchange rate, the Federal Reserve also has2The expectation of a second interest rate cut has also exerted some pressure on the exchange rate. However, the sustained rebound of the US dollar index and weak economic data from Canada during the period have limited the room for a correction in the exchange rate. Today's Focus1.3900Nearby pressure situation, supported below1.3700Near.