Due to the impact of the COVID-19 epidemic, the U.S. government spending this fiscal year has risen
The U.S. Congressional Budget Office stated that due to the widespread impact of the COVID-19 on the economy, the government’s large-scale stimulus measures to relieve economic losses will increase the federal budget deficit this fiscal year to a record 3.3 trillion U.S. dollars, which is the budget of the previous year. The deficit is more than three times, equivalent to 16% of GDP, but slightly lower than the initial estimate of US$3.7 trillion in April. In addition, government expenditures this fiscal year are expected to rise to 6.6 trillion U.S. dollars. Facing such huge government expenditures, it is expected that the U.S. government can only use money printing and tax increases. These two dilemmas can be solved because tax increases may be possible. It will intensify the downward pressure on the economy, and printing money may conceal structural spending problems. As for the consequences, the market may gradually lose confidence in the dollar.
Gold prices fell slightly
The major US stock indexes closed sharply lower on Thursday, September 3, and set their biggest one-day decline since June. Investors dumped the technology sector that had soared before, and economic data highlighted the market’s concern that the economic recovery would be long and difficult. The rebound of the US dollar index was hindered and hit a one-week high at around 93.07. This put pressure on gold prices. Spot gold once fell to around 1922.11. However, the new crown epidemic and the sharp drop in European and American stock markets still provided some support for gold prices.
—————————————————————
Z. com Bullion is an affiliate of GMO Financial Holdings, Inc., a Japanese listed group. The risk of loss in leveraged foreign exchange trading & margin trading can be substantial. Visit the company website to read full risk warning. https://bullion.z.com/en/about/legal/risk/
场外式黄金/白银交易由 Max Online 提供。 场外式黄金/白银交易涉及高度风险，未必适合所有投资者。 高度的杠杆可为阁下带来负面或正面的影响。 场外式黄金/白银并非受证券及期货事务监察委员会（「证监会」）监管，因此买卖场外式黄金/白银将不会受到证监会所颁布的规则或规例所约束，包括（但不限于）客户 款项规则。 阁下在决定买卖场外式黄金/白银之前应审慎考虑自己的投资目标、交易经验以及风险接受程度。 可能出现的情况包括蒙受部分或全部初始投资额的损失，或在极端情况下（例如相关市场跳空）产生更多的损失。 因此，阁下不应将无法承受损失的资金用于投资。 投资应知悉买卖场外式黄金/白银有关的一切风险，如有需要，请向独立财务顾问寻求意见。