This week, the gold material recorded the first drop in the next week, and the next week, Komi testified or ushered in a turn.

On Friday (June 2), the international gold price fell slightly, and it is expected to record the first weekly decline in four weeks. As the US announced the ADP employment data performance yesterday, it boosted the Fed’s prospect of raising interest rates this month, and the US dollar rose and suppressed. Gold, and tonight the financial market ushered in the most important data of this week - the US non-farm payrolls data in May, the market expects the United States to add 182,000 non-agricultural jobs in May, is expected to further consolidate the Fed rate hike expectations. Looking forward to next week, as the Fed’s meeting on interest rates approaches, gold is expected to be further suppressed, but former US Federal Bureau of Investigation Commissioner Komi will go to the Senate Intelligence Committee next Thursday to testify, Washington’s political drama sequel will be staged, or will be gold Welcome to turn.

As of 17:15 Beijing time, spot gold fell 0.37% to $1,261.18 per ounce; US gold futures fell 0.47% to $1,261.06.

Spot gold 1 hour chart period gold 1 hour chart employment data strong push up interest rate expectations to suppress gold price Thursday (June 1) announced the US May ADP new employment data recorded an increase of 253,000 people, far more than expected new An increase of 185,000 indicates that the economy is accelerating after experiencing difficulties at the beginning of the year. After the data was released, the US dollar index was short-term, spot gold and silver fell sharply, and gold hit a low of 1261.39 US dollars per ounce. The US 10-year bond yield hit 2.234%, setting a new high for the day. According to the CME “Fed Observation Tool”, the current Fed’s rate hike probability in June has soared to 95.8% from 88.8% before the data was released.

In terms of specific industries, the number of professional/commercial service employment increased by 88,000 in May; the number of employed persons in the financial services industry increased by 0.7 million; the number of employed persons in trade/transport/utility increased by 58,000; 0.8 million people; the number of employed people in the construction industry has increased by 37,000.

After the announcement of the ADP in May, Moody's chief economist Janet said that the new employment has risen rapidly, and the current employment growth rate is three times that of the labor market. The challenge for more and more enterprises will be A shortage of labor. The vice president of ADP Employment Data also said that the May report proved that employment growth was exceptionally strong, with professional/commercial services growing at its strongest since 2014.

FedWatch of the Chicago Mercantile Exchange (CME) showed that US federal interest rate futures suggest that current traders believe that the Fed’s chances of raising interest rates by 0.25 points on June 13-14 are 96%, and ADP’s new employment data is 88.8% before publication. .

After the release of ADP data, gold fell sharply by $3 in the short-term and then rebounded. According to GE Orge Gero, managing director of Royal Bank of Canada Wealth Management, the US ADP private sector employment data is strong, the US dollar is strong, and gold is suppressed, but geopolitical concerns have limited the decline and gold is still on the defensive. Due to political uncertainty in the United States, North Korea, Venezuela, Brazil and Greece, the price of gold remains at around $1,260 per ounce.

Later, the financial market ushered in the most important data of this week - the US non-farm payrolls data for May, because ADP data and non-agricultural employment data have a strong positive correlation, so it can be used as a precursor to the change in non-farm employment in the month. index. The May non-agricultural employment report is scheduled to be released at 20:30 Beijing time tonight.

At present, the market expects the number of non-agricultural employment in the United States to increase by 185,000 in May, the previous value is an increase of 211,000; the unemployment rate is expected to remain unchanged at 4.4%.

Australian Elitis chief economist Jordan Eliseo expects gold prices to test the key areas of $1,260 again. The bulls are seeking to break through key resistance levels. If the non-agricultural data released tonight is less than expected, it will become a catalyst to boost gold prices. If the number of non-agricultural employment increases by more than 200,000, it is expected that gold will further retreat from the recent gains.

In addition, US President Trump said on Friday that the United States will withdraw from the Paris climate agreement, the United States will try to make the Paris climate agreement fair; together with the Democrats to seek a better solution than the Paris agreement, any new agreement needs the world Countries share equal responsibilities and obligations.

Trump also said that the Paris climate agreement puts the United States at a disadvantage and is unreasonable. The withdrawal of the Paris climate agreement shows the status of the United States.

Komi testifies or welcomes the turn. Former US Federal Bureau of Investigation Commissioner Komi will go to the Senate Intelligence Committee to testify next Thursday. His highly publicized fabric will be his interaction with President Trump in the past few months. The situation provides clues.

The Senate Intelligence Committee’s statement stated that Komi will begin public testimony at 10 am on Thursday, and will have a closed-door discussion with the committee that afternoon.

Gero expects that Komi’s testimony is expected to push up the price of gold next week, but the gains may be limited as the market focus shifts further to the Fed’s June policy meeting.

Washington’s continued political turmoil is good for gold prices. On May 17, the media broke out in a memo that President Trump had asked him to stop investigating the then national security adviser, Michael Flynn. The memorandum is one of the evidences that Komi recorded how Trump interfered with the authorities' ongoing investigations. The news boosted the price of gold by 1.8% on the day.

Gero pointed out that gold will be on the defensive in the short term, as the Fed raises interest rates to limit market gains, and on the other hand, political uncertainty will provide strong support.

“I think the market is worried enough to keep the price of gold above $1,260 per ounce, and political uncertainty in the US, South America and the UK will provide support.”