The tweet by Iran's foreign minister increased the possibility of tensions in the region. It pushed the oil prices up.
Yellow metal extends mild recovery after mixed American data
On Thursday, gold extended a mild revival in the face of mixed American data as well as a stock market stabilizing near record maximums.
On the Comex exchange, June delivery gold futures were nearly intact, sticking with $1,278.95 a troy ounce.
The yellow metal has gained 1% from the fresh minimum for this year that it reached earlier this week. Nevertheless, momentum is still limited because a pack of healthy earnings reports from America keeps risk appetite fed enough.
Gold’s lack of movement on Thursday dropped a hint at opposing moves in American stocks. As a matter of fact, Dow stocks generally dived, while upbeat earnings from Microsoft and Facebook improved risk sentiment in tech.
Following an initial knee-jerk reaction, the yellow metal along with other financial markets neglected Thursday’s economic data.
In March, American durable goods orders reported their best gain for eight months, thus underlining America’s recent role as an economic pillar of strength ahead of first quarter surge data out on Friday.
As follows from weekly jobless claims, the labor market slumped a bit. The previous week US citizens who filed for employment benefits tacked on by the most for 19 months. By the way, it happens to be a rebound from their lowest value level since 1969, reported the previous week
As for other metals, silver futures headed south by about 0.2% concluding the trading session at $14.893 a troy ounce.
As for palladium futures, they went down by about 0.2% trading at $1,402.65 an ounce. Aside from that, platinum futures decreased by 0.8% hitting $881.80.
Copper slipped by almost 1.1% ending up with $2.877 a pound.
Yesterday’s private survey showed larger-than-expected cut in oil output.
The release of crude oil inventories earlier today showed a surprise increase in the number of barrels.
The European trading session will be highlighted by the events for the British pound. Traders will pay special attention to the BOE meeting at 14:00 MT.