FOREXYARD: Forex News Blog

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• Gold Tumbles As U.S Dollar Strengthens
• Crude Oil Outlook This Week
• Bullion Market Outlook For This Week

Gold Tumbles As U.S Dollar Strengthens Posted: 23 Apr 2012 09:14 AM PDT The price of gold has weakened to a two-week low after a boost in the U.S dollar had made the metal less appealing as an alternative investment during Monday’s trading. Silver experienced even greater losses than that of gold after falling to a three-month low. The greenback made gains of 0.5 percent versus a number of its currency counterparts due to concerns over the French presidential elections. There is fresh concern that the result of the presidential elections in France will interfere with efforts to aid the nation’s debt crisis. Gold prices for June Contract dropped 0.8 percent to $1,629.60 an ounce during the early New York session. Prior to hitting that level, the yellow metal fell to $1,623.60, the lowest level since April 5. Before  today’s drop in gold prices, the metal has fallen 1.7 percent for the month of April so far. Elsewhere, Silver prices sharply dipped to trade below the $30.74 level, after previously declining to $30.63, the lowest silver price since January 20.

Crude Oil Outlook This Week Posted: 22 Apr 2012 08:18 PM PDT Despite Crude Oil’s gains towards the end of last week, the commodity during last weeks trading, saw no clear trend or any major movements. At the end of last week,crude oil appreciated almost 0.8 percent to trade above the $103.00 level,although overall gains for the whole week were minimal. There a number of news events on the economic calendar this week which could possibly affect the price movements of crude oil. Such events include the FOMC Meeting,U.S Home Sales and the U.S Jobless Claims Weekly Update. News or figures from Canada will also play a role in price movements as the nation is strongly linked to crude oil. Canada’s Retail Sales report will be released this week which could affect the Canadian Dollar and as a result, affect oil prices. Last week saw both the Euro and The Australian dollar strengthen against the U.S dollar, which had a positive affect on commodity prices. If these two major currencies continue to make gains over the greenback this week,it could have a positive affect on commodities, including the price of crude oil.

Bullion Market Outlook For This Week Posted: 22 Apr 2012 07:10 PM PDT Both gold and silver during last weeks trading did not show any major movements or solid directions, with the yellow metal weakening for the majority of the week whilst silver prices traded slightly up. During last week, gold prices fell 1.05 percent whilst its fellow metal silver slightly appreciated just over 1 percent. Despite gold’s weak performance in the previous week, silver managed to make some gains. Its possible that that the metal’s prices were boosted by a strong Euro and Australian Dollar , which both strengthened against the U.S Dollar. There are a number of financial reports due for release this week which could affect precious metal price movements. In particular, there are a number of U.S-related reports including New Home Sales report,Core Durable Goods Orders,Interest Rate Decision,FOMC Statement as well as a Speech from Federal Reserve Chairman Ben Bernanke. If the results of the U.S-related reports turn out to be positive, it could boost the greenback and consequently push gold and silver prices down.On the other hand,bullion prices could be boosted if the reports display negative or unexpected results, which would put downward pressure on the U.S currency.

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