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Gold and silver are trading flat this morning leading into the EU open. Gold is trading at $1727/oz while silver has moved near the psychological $25/oz area.
Risk sentiment overnight was mostly weak following the weak handover from the US. The Nikkei 225 (-2.04%) and Shanghai Composite (-1.30%) moved lower while the ASX closed 0.50% in the black.
In FX markets, it was the dollar that outperformed overnight. The weakest major currency was the pound which fell over half a percent. In the rest of the commodities complex, copper (0.80%) and spot WTI (1.95%) both trade higher.
Looking at some of the news stories, BOJ's Kuroda said the central bank is to continue with powerful monetary easing persistently.
There was a fall in aluminium prices overnight with some analysts citing the fact that China is considering a sale of around half a million tons of aluminium from state reserves as the reason for the move.
UK medical firm AstraZeneca says it will release up-to-date results from the final stage trial of its vaccine, responding to criticism from a U.S. science agency.
On the data front, Japan (Jibun Bank) Markit preliminary manufacturing PMIs for March came in at 52.0 (prior 51.4), Australia preliminary March Markit PMIs manufacturing it 57.0 vs the prior reading of 56.6 and services printed at 56.2 vs the prior 54.1.
Elsewhere in the Asia Pac area, the Australian Treasury Secretary said he expects a spike in long term unemployment following the COVID-19 pandemic.
On the central bank front, BoC Gravelle said he sees a smoother recovery and Fed's Bullard says he sees the target rate staying near zero through 2023. Fed's Bullard looking for 6.5% GDP growth, unemployment down to 4.5% this year and lastly, Fed's Brainard says she expects to see transitory increases in inflation.
US President Biden says the US will have 600m doses of vaccine by the end of May. Sticking with the US President Biden's first fiscal 2022 proposals will be released on Friday and a full budget is expected in Spring.
On the geopolitical front, South Korean military officials confirmed that North Korea fired 2 missiles off its west coast on Sunday.
Looking ahead to the rest of the session highlights include PMI's from the major nations, DoE's, EZ consumer confidence and comments from Fed's Powell, Barkin, Williams, Daly Evans, ECB's Lagarde and US treasury secretary Yellen.
By Rajan Dhall
For Kitco News
