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The Federal Reserve keeps loose and expects the outer disk metal to rise to a new low in the dollar index.
Jul 30,2020 06:43CST
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Source:SMM
The content below was translated by Tencent automatically for reference.

SMM7 March 30: on the last trading day, the Lunpan metal market generally rose. Luntan rose 0.11%, Lunxun Aluminum rose 0.12%, Lunzn Zinc rose 1.54%, Lunni rose 1.61%, Lunxi fell 0.36%, and Lunxi lead rose 0.91%. In the domestic market, Shanghai copper rose 0.25%, Shanghai aluminum rose 1.43%, Shanghai zinc rose 1.65%, Shanghai lead rose 0.72%, Shanghai nickel rose 0.27%, Shanghai tin fell 0.09%, thread rose 0.13%, and stainless steel rose 0.04%.

In terms of the dollar index, it fell to 93.17, its lowest level since May 2018, on expectations that the Fed will continue to pursue ultra-loose monetary policy in the coming years and speculation that the Fed will allow inflation to rise above the previous level.

In terms of US stocks, the three major indexes of US stocks collectively closed higher. The Dow Jones Industrial average closed up 160.30 points, or 0.61%, at 26539.57; the S & P 500 closed up 40.00 points, or 1.24%, at 3258.44; and the NASDAQ closed up 140.90 points, or 1.35%, at 10542.94.

In terms of crude oil, WTI September crude oil futures closed up 23 cents, or 0.56 percent, at 41.27 U.S. dollars per barrel, while Brent September crude oil futures closed up 53 cents, or 1.23 percent, at 43.75 U.S. dollars per barrel. Us crude oil inventories fell the most this year, indicating a bright spot in the market hit by novel coronavirus, which provided support for crude oil prices, which failed to rise more strongly due to an increase in the supply of gasoline and distillates.

In precious metals, COMEX December gold futures rose 0.7% to close at $1976.70 an ounce. Analysts believe that in the current environment, the government is devaluing its legal tender and pushing real interest rates to an all-time low. "there are real concerns about how long the dollar's reserve currency status will last, as investors seek safe havens. Gold is heading for its biggest annual gain in a decade.

In terms of data,

Us pre-signed sales index of existing homes in June: 44.30% expected: 15% announced: 16.6%

Agencies comment on the monthly rate of signed sales of existing homes in the United States in June: data show that contracted sales of existing homes in the United States increased faster than expected in June, indicating that the US housing market is far better able to withstand the COVID-19 epidemic than the economy as a whole.

Us EIA crude Oil inventory (10,000 barrels) pre-value: 489.2 expected: 35.7 announcement:-1061.2 for the week ending July 24

EIA reported that commercial crude oil stocks, excluding the strategic reserve, decreased by 10.611 million barrels, or 2 per cent, to 526 million barrels. The average four-week supply of crude oil products in the United States is 18.337 million barrels per day, down 13% from the same period last year.

Us Federal Reserve interest rate decision (ceiling) before July 29: 0.25% expected: 0.25% announcement: 0.25%

The Fed reiterated in its statement that the economy faces significant downside risks, extending the central bank's repo and swap lines until March 31, analyst Viraj Patel said. This suggests that the Fed does not want a return to dollar demand, that is, a repeat of the dollar liquidity crisis. The statement did not provide additional forward-looking guidance on future policies, but the US index remained under pressure.

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