Anxiety over the US-China trade conflict and Brexit is keeping the yellow metal’s $1,200 perch alive, notwithstanding the evergreen buck trying to gain leverage against gold on the same fears…
Gold revives after largest weekly slump for a year
On Monday, gold ascended, recovering some losses having faced its largest weekly sag for more than year because market participants awaited references from the Fed later this week.
December delivery gold futures soared by 0.72% on the Comex exchange hitting $1,192.90 a troy ounce.
Gold futures concluded the previous week down by 2.86%, which is the greatest weekly sag since early May last year, having slumped to $1,176.20 last Thursday, demonstrating the lowest reading since early January last year.
So far in 2018 this commodity has lost by 10.8%, suppressed by the stronger evergreen buck as well as soaring interest rates.
Investors will pay much attention to any clues from the major financial institution this week on the future path of the country’s monetary policy.
On Wednesday, market participants will get a chance to view the minutes of the Fed’s August gathering, when it left interest rates intact and showed that it’s still on track for extra rate lifts in 2018.
On Friday, Jerome Powell is anticipated to make his first appearance as Fed chief in Jackson Hole at the annual economic symposium.
Market participants are going to be on the lookout for any updates to the Fed’s outlook on inflation, the US economy as well as trade war concerns.
Financial markets are actually expecting the next rate lift to take place in September, with the probability of an extra lift in December accounting for 63%.
As for other metals, silver futures managed to tack on by 0.20% hitting $14.660 a troy ounce.
Palladium futures managed to ascend by 2.15% coming up with $896.70 an ounce. At the same time, platinum futures edged up by 1.92% being worth $792.20.
Besides this, copper futures rallied by up to 1.18% showing $2.660 a pound.
On Monday, gold slipped a bit because the USD index rallied to its highest value for more than 17 months, thus affecting gold’s demand…
On Friday, gold edged down due to the fact that inflation data indicated steady interest rate lifts by the primary US financial institution…
Safe havens such as gold and Japanese yen declined as investors sentiment was boosted by eased geopolitical tensions…
On Tuesday, the euro tacked on because market participants waited for reports on inflation and growth in the euro zone, while the Japanese yen went down after Japan’s major bank told it would be more flexible in its huge stimulus program…
On Tuesday, the evergreen buck dived because the common currency bounced off and the UK pound managed to ascend to the day’s maximums reacting to reports that British Prime Minister Theresa May is going to take control of Brexit talks…