Gold prices, however, remain range-bound below the 50-day SMA as investors await the release of the FOMC minutes. The focus on central bank policy decisions will likely dictate the next move for precious metals.
China’s Caixin Services PMI dropping to 51.2 in June is a cause for concern, indicating a slowdown in the world’s second-largest economy. This could have ripple effects on global markets, so it’s important to monitor the situation closely.
Meanwhile, the PBOC setting the USD/CNY reference rate slightly higher than before suggests some stability in the Chinese currency. This could impact trading strategies for those involved in the USD/CNY pair.
As the USD weakens against the CAD and strengthens against the JPY, traders should keep a close eye on upcoming US data releases and the FOMC minutes. These events could provide further direction for currency pairs involving the US Dollar.
In summary, the current market conditions require a cautious approach and a keen eye on economic indicators and central bank decisions. Stay informed and adapt your trading strategy accordingly.
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