Yesterday’s eurozone economic stats suggest weakness. France’s manufacturing performance increased while Germany’s one declined. The eurozone’s manufacturing production index strengthened but remained below 50. Investment banks report that Asian corporations keep taking over European companies.
President Obama offered to lower the corporate tax from 35% down to 28%. The change won’t probably take effect this year in advance of the presidential elections. The USA’s secondary housing market showed some growth last month, which was lower than expected. Today’s US unemployment claims report is expected to show a 355K increase.
The USA, France, Germany, China and Russia are looking for an opportunity to resume the nuclear talks with Iran. The chances are faint. In the meantime, Israel is sure that in 2-3 year Iran will own intercontinental missiles with will be able to reach the US coast.
Japan will probably agree to lower its import of crude oil from Iran by more by over 20% under the US pressure in order to avoid sanctions.
It is expected that China’s Prime Minister will set the economic growth target below 8% at 7-7.5% during his speech in the parliament in March.
The tense situation in Iran and Syria stimulate the demand for gold. Yesterday gold appreciated. Silver followed it, even though usually it is more volatile. Platinum has shown more considerable price growth than gold since the beginning of 2012.
Forecast:
According to the Commodity Trading Department of , today gold prices will probably be consolidating within the 1771-1776 range. If an H1 bar closes below 1771, it will increase the probability of a retracement down to 1756-1757, and maybe 1750. Once the test fails, the prices well may rally app to 1800, 1805.
If silver prices fail to consolidate above 34.45, they will probably retrace down to 34.10, 34.0, and maybe even 33.80. in order to resume its rally up to 35, silver will have to consolidate above 34.45.
