Silver Fundamental Analysis June 1, 2012, Forecast

Analysis and Recommendations:

Silver continued in the shadow of gold, falling a bit, to trade at 27.69 to end the week and the month.

Amid the unending woes of eurozone debt crisis, commodities were seen paring their earlier losses. Now, markets are waiting for a slew of economic data releases that are scheduled for today and tomorrow, to assess the global economic situation. Spot gold, following an initial decline during morning trades started to move up, extending the previous session’s impressive recovery from 1530 levels. Rebound in Euro on anticipation of an Irish vote in favor of Europe’s fiscal pact, helped gold to sustain its gains. Base metals continued to reel under pressure due to the feeble financial situation in Euro Zone and slowing economic growth in China. However, a rise in euro improved the market sentiments to certain extent. In LME, copper was seen regaining some for its lost ground after hitting its lowest in 2012. Meanwhile, it was on its way to post losses for the third successive month. Currency fluctuations helped to limit the losses.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.

Economic Data for May 31, 2012 actual v. forecast

 

Currency

 

 

 

Event

Actual

 

Forecast

 

Previous

 

 

 

JPY

 

 

 

Industrial Production (MoM) 

0.2%

 

0.5% 

 

1.3% 

 

 

 

AUD

 

 

 

Building Approvals (MoM) 

-8.7%

 

0.7% 

 

6.0% 

   

 

AUD

 

 

 

Private New Capital Expenditure (QoQ) 

6.1%

 

4.0% 

 

-0.7% 

   

 

CHF

 

 

 

GDP (QoQ) 

0.7%

 

0.1% 

 

0.5% 

   

 

GBP

 

 

 

Nationwide HPI (MoM) 

0.3%

 

0.2% 

 

-0.3% 

   

 

EUR

 

 

 

French Consumer Spending (MoM) 

0.6%

 

0.3% 

 

-2.6% 

   

 

EUR

 

 

 

German Unemployment Rate 

6.7%

 

6.8% 

 

6.8% 

 

 

 

EUR

 

 

 

German Unemployment Change 

0K

 

-5K 

 

18K 

   

 

EUR

 

 

 

CPI (YoY) 

2.4%

 

2.5% 

 

2.6% 

 

 

 

USD

 

 

 

ADP Nonfarm Employment Change 

133K

 

148K 

 

113K 

   

 

CAD

 

 

 

Current Account 

-10.3B

 

-11.0B 

 

-9.7B 

   

 

USD

 

 

 

Initial Jobless Claims 

383K

 

370K 

 

373K 

   

 

USD

 

 

 

GDP (QoQ) 

1.9%

 

1.9% 

 

2.2% 

 

 

 

USD

 

 

 

Continuing Jobless Claims 

3242K

 

3250K 

 

3278K 

   

 

USD

 

 

 

Chicago PMI 

52.7

 

56.5 

 

56.2 

   

  

Upcoming Economic Events that affect the CHF, EUR, GBP and USD

Date

Time

Currency

 

Previous

Jun 1

TBD

GBP

Halifax HPI m/m

 

7:15

CHF

Retail Sales y/y

4.2%

7:30

CHF

SVME PMI

46.9

7:45

EUR

Italian Manufacturing PMI

43.8

8:30

GBP

Manufacturing PMI

50.5

9:00

EUR

Unemployment Rate

10.9%

12:30

USD

Non-Farm Employment Change

115K

12:30

USD

Unemployment Rate

8.1%

12:30

USD

Core PCE Price Index m/m

0.0%

12:30

USD

Personal Spending m/m

0.2%

12:30

USD

ISM Manufacturing PMI

0.3%

14:00

USD

S&P/CS Composite-20 HPI y/y

54.8

 

Leave a Reply

Your email address will not be published. Required fields are marked *