On Monday, the performance of the Asia Pacific market was not calm, the prices of crude oil, gold, silver and some commodities “stalled”, and most of the stock markets were red.
Affected by the strong US non farm employment data, investors’ concerns about the tightening of liquidity by the Federal Reserve intensified, US bond yields rose, and the US dollar remained at its highest level in recent four months.
The industry expects that the Federal Reserve may establish the plan and start-up time point of tightening monetary policy at the interest rate meeting in September, and the US bond interest rate and US dollar may enter the maximum upward pressure period in the next month and a half.
Collective flameout of bulk commodities
Most domestic futures markets fell
The U.S. non farm employment data in July exceeded expectations and is stirring the financial market. During the trading session of the Asia Pacific market on Monday, the market pressure on precious metals and crude oil was obvious.
Collective diving in precious metal plates at home and abroad. Spot silver futures in London fell more than 8% and fell below the $23 mark. Spot gold also fell nearly 5% to around $1680, falling behind the $1700 mark for the first time since March 31. COMEX gold fell more than 2% to around $1677. As of press time, the decline in spot silver and Comex gold prices narrowed to around 1.3%, and the decline in spot gold prices was 1.5%.
In terms of other commodities, as of 11:00 Beijing time, LME copper and LME zinc fell slightly, and LME nickel fell 1.5%. The domestic futures market also fell sharply, with Shanghai silver down more than 4%, Shanghai gold down more than 3%, and crude oil and asphalt down more than 2%.
At present, the spread of COVID-19 in the United States has intensified, and market sentiment has been ignited by Fed officials’ statements and ultra expected nonfarm data.
Yide futures analyst Zhang Chen believes that the market’s expectation of the Fed’s tightening policy is significantly ahead of schedule. If there is no accident, the Federal Reserve is expected to officially disclose the debt reduction plan in September. Until then, unless the epidemic broke out more than expected, precious metals will still be under overall pressure.
Founder’s interim report said that in the long run, the expectation of the shift of the Fed’s monetary policy in the second half of the year is still strong, and the policy trend will continue to drag down the trend of precious metals and maintain the weak view of precious metals in the second half of the year.
Non farm employment data also put great pressure on the crude oil market. The futures price of light crude oil in the United States fell more than 2% to near $66.5 a barrel, and the futures price of Brent crude oil in London also fell 2.19% to near $69.16 a barrel, missing the $70 mark. The main contract of Shanghai crude oil fell nearly 3% to 416.5 yuan per barrel.