Gold have moved lower ahead of the European open

LONDON (June 1) After closing just over 1% lower on Tuesday gold has started the session 0.11% in the red. Silver is hovering just above flat leading into the European open. In the rest of the commodities complex, copper and spot WTI are trading just under flat. 

In risk markets, the Nikkei 225 (0.60%) and ASX (0.32%) closed higher but the Shanghai Composite fell 0.39%. Futures in Europe are showing a slightly negative cash open may be on the cards.

In FX, USD/JPY was the biggest mover climbing 0.40% overnight. Elsewhere the dollar index is 0.19% higher. In the crypto space, BTC/USD is trading half a percent down at $31,635.

News from overnight:

Fed's Bostic says there could be a ‘significant reduction in inflation’ this year.

The Bank of England is making preparations to bail out the crypto market.

China admits it performed military exercises near Taiwan this week.

BoJ Deputy Governor Wakatabe: Bank of Japan must maintain powerful monetary easing.

BoJ's Wakatabe: The need for additional monetary easing is not very high for now.

China Caixin / Markit Manufacturing PMI (May) 48.1 (expected 47).

U.K. May Nationwide house prices +0.9% vs +0.6% m/m expected.

Germany April retail sales -5.4% vs -0.2% m/m expected.

Australia Q1 GDP 0.8% q/q (expected 0.7%).

Japan Manufacturing PMI for May 53.3 (prelim was 53.2, prior 53.5).

Australian Manufacturing PMI for May 52.4 (prior 58.5).

Looking ahead to the rest of the session highlights include PMI's (global), U.S. construction spending, BoC policy announcements and comments from Fed's Williams, Bullard, ECB's Lagarde, Lane, Panetta, and Knot. 

KITCO