The market has been concerned about the French elections on May 6 at sunset down the curtain, the French Socialist Party leader François Hollande, the defeated incumbent President Nicolas Sarkozy, further boarded the presidential post. Hollande’s win and the majority of market investors is expected, although the rating agency Fitch expressed Hollande’s appointment no impact on France’s AAA sovereign rating, but his appointment is not good for the euro is still The message, in power Yinaolangde different views with Sarkozy, the hair policy of German Chancellor Angela Merkel to tighten as the center of crisis response.
In addition, as one of the core countries of the European debt crisis in Greece Councils have in the turbulent stage, Samaras, Greek Conservative Party New Democratic Party leader, said recently that its consultation with the left-wing parties failed to view a coalition government plan will be difficult to implementation.
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In this election in Greece, Greece, the majority of people tend to support political parties against the austerity plan. Once the new coalition government can not form, or to the left-wing parties against the austerity plan to form a new coalition government, it is bound to be a greater obstacle for the implementation of austerity measures previously specified, is more worrying is that the European Union (EU) ability to continue to the Greek and the International Monetary Fund (IMF) to provide new aid funds will become the important factor of the Greek bankruptcy or not. It is reported that the Tripartite Group will be the second quarter of 2012 was 31.3 billion euros (U.S. $ 40.7 billion) in aid issued to Greece, if Greece can not make progress, the plan or will be temporarily shelved.
Europe debt crisis provoked by the Greek general election is bound to become the focus of the market in the coming period of time, the market worried about the emotional rekindle the risk assets sold off, while the gold as a hedge is extremely lacking, once the debt crisis in Europe is heading in the adverse direction, gold will likely become one of the investors to sell the object.
Technically, the gold the mid 4-hour chart is still in a downward trend since early March, the shock does not appear obvious signs stabilized or reversed. Short-term point of view, the gold from this week opened Up to now, the price of gold has been in a sideways, short-term around 1642-1632 range-bound. Outlook if gold fell further in late April low of 1623 will be supported by further under breaking, expected short-term down space may be more limited, due to the 1600 line will constitute the gold price, and once 1600 whether expected to be available to accelerate the downside. Upstream aspects, market outlook, if the gold rebounded expected day chart 100 EMA will continue to constitute an important pressure level, the gold since late March down several times so far in the moving average Difficult.
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