Services confidence 98Prior 96Industrial confidence 96Prior 97 This article was written by Justin Low at investinglive.com. Source: investinglive.com (Read Full Article)

Underlying inflation is still below 2% but approaching that levelNeed to be mindful of downside risks to prices from tariffsWe want to look at more dataWant to scrutinise the data amid high uncertainties from trade policies on the economyWe plan to proceed with ETF, J-REIT sales until they are fully disposedNot considering changing pace of ETF sales to adjust monetary policyAgain, he seems to be mostly conveying the majority view and dismissing the dissents from Takata and Tamura. In other words, he’s trying to not make a big deal out of it. As for the ETF sales, I noted earlier how at the current pace it would take 112 years for them to fully unload their holdings. Good luck with that. USD/JPY has now erased losses on the day to 147.95 currently. This article was written by Justin Low at investinglive.com. Source: investinglive.com (Read Full Article)

Fundamental OverviewGold extended the gains into a new all-time high right before the FOMC decision but eventually gave back everything as the Fed didn’t match the very dovish expectations priced in by the market. In fact, the dot plot showed that the FOMC projected two more rate cuts for 2025 by a narrow majority, with the rest of officials expecting just one more or even none. Moreover, the Fed projected just one cut in 2026 compared to three that the market was pricing before the decision.Fed Chair Powell then labelled the rate cut as a “risk management” action given the weakening in the labour market data. But overall, he sounded pretty neutral even though he understandably placed more emphasis on the labour market given the two consecutive soft NFP reports. Looking forward, it’s going to be all about the data. Strong data will likely trigger a hawkish repricing in interest rates expectations and weigh on gold. On the other hand, weak data will likely continue to support it.In the bigger picture, gold should remain in an uptrend as real yields will likely continue to fall amid the Fed’s dovish reaction function. In the short-term though, hawkish repricing in interest rates expectations will likely keep on triggering corrections.Gold Technical Analysis – Daily TimeframeOn the daily chart, we can see that gold made one last push into a new all-time high before the FOMC decision and then erased the gains as the Fed didn’t match the very dovish expectations from the market. From a risk management perspective, the buyers will have a better risk to reward setup around the major trendline, while the sellers will look for a break lower to extend the drop into the 3,120 level next. Such a big correction might happen if we get strong US data in the next weeks that triggers a hawkish repricing in interest rates expectations.Gold Technical Analysis – 4 hour TimeframeOn the 4 hour chart, we can see that we have a minor upward trendline defining the bullish momentum. We have also a minor support around the 3,615 level. The buyers will likely step in around the trendline and the support to position for a rally into a new all-time high, while the sellers will look for downside breakouts to pile in for a drop into the major trendline.Gold Technical Analysis – 1 hour TimeframeOn the 1 hour chart, we can see that we have an important swing level at 3,672 that acted as resistance recently. If the price breaks to the upside, we can expect the buyers to pile in for a rally into a new all-time high. The sellers, on the other hand, will likely lean on that level with a defined risk above it to position for a drop into the 3,615 support with a better risk to reward setup. The red lines define the average daily range for today. This article was written by Giuseppe Dellamotta at investinglive.com. Source: investinglive.com (Read Full Article)