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Gold prices eked out small gains on Friday, buoyed by a weaker dollar, with investors awaiting the US jobs data to gauge the Federal Reserve’s plans to start tapering asset purchases. FUNDAMENTALSSpot gold rose 0.1% to $1,811.79 per ounce by 0115 GMT, but was headed for its first weekly decline in four. US gold futures
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While NASDAQ surged to new record high overnight, overall closes were mixed with DOW slightly down. Asia markets also lack a clear direction. Investors appear to remain cautious ahead of US non-farm payroll report tomorrow. So far, New Zealand and Australian Dollars are the strongest ones for the week. Canadian Dollar is lagging far behind
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Dollar was under pressure most of the week and selling accelerated again after the big disappointment in employment data. The non-farm payroll report could show that job market recovery had made a “substantial setback” rather than “substantial further progress”. A tapering announcement from Fed in September is basically off the table. Overall development in US
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ISM services index for August 2021: Prior was 64.1 Employment 53.7 vs 53.8 prior New orders 63.2 vs 63.7 prior Prices paid 75.4 vs 82.3 prior Business activity 60.1 vs 67.0 prior Backlog of orders 61.3 vs 63.5 prior New export orders 60.6 vs 65.8 prior Imports 48.7 vs 51.6 prior Inventories 46.9 vs 49.2
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