In this article, we summarize which events in the week ahead could impact the gold price and silver price. At the bottom of the article we explain that these events are generaly no fundamental drivers, but mostly the result of trading in COMEX futures.
The metals are going up and down lately, within a trading range between $1180 and $1230 while silver did not exceed its trading range of $16.00 and $16.50. We expected a quiet week as per our article “Gold And Silver Price: A Quiet Week But Watch Draghi’s Speech” and that is indeed what we got. The week was again characterized by a range bound gold and silver price.
For the week commencing April 20th, there are a limited number of economic data of importance to the metals. There is no central bank announcement scheduled, as seen in the table below. Wednesday or Thursday could shake markets with the home sales data in the US, although we do not expect this to be of great impact to the metals. Germany is planning to release its economic sentiment (Tuesday) and business climate index (Friday) but that should not be of any significance to the metals.
The most likely scenario is to see a continuation of the consolidation pattern in gold and silver.
Note: The primary focus of our website is to report on the different aspects of the gold market: fundamentals, economic and monetary analysis, basic technical analysis. Our view on the real price setting in the gold and silver market differs from the mainstream view. Price changes “happen to coincide” with events, and mainstream media got used to report some sort of relationship between the two. However, we believe that the real price setting is taking place in the COMEX futures market. Market expert Ted Butler does an outstanding job analyzing the weekly evolution in the COMEX market and how it affects price setting.