Last trading day low: 1403.00
Last trading day high: 1419.50
The gold spot continues to trade between 1400-1420 after the Fed Chairman attended the congress testimony. According to the tone of Powell, the dovish tone from the Fed to stimulate the US economy is firm but how far they will go. The market is watching the China GDP and referring it to measure their risk arose from the global trade tension.
The Trump administration urged the China government to buy the US agriculture product as China agreed to act so for trade negotiation. However, China denies the statement but claims that they promise to buy the agriculture product without mentioning the starting date.
Politic analyst comments Trump needs China to buy agriculture product because of his second term campaign. The trade war has harmed the farmers who are Trump’s supporter during the last election. China’s delay may be digested as pressure to Trump government on trade negotiation.
Hong Kong protest
Hong Kong protest still in the street to show their dissatisfaction on the government. According to sources, Chief Executive Carrie has offered her resignation several times in recent weeks to her political masters in Beijing.
France’s digital tax
France introduced digital tax which meant to implement 3% to digital business. The digital tax may harm the tech company which supply their product or services to France and the American companies are the major suppliers. Trump government immediately activate section 301 to investigate whether the policy is unfair to America company and then to decide their actions.