Login ID:
Password:
Partner Login
Contact Us : 7066511911

Gold Glitters as trade deadline nears; Fed verdict in Focus

10 Dec 2019 7:31 pm
 Comments 0 Comments  |  Comments Post Comment  |  Font Size A A A 

Mumbai (Commodities Control) - Gold rose on Tuesday on uncertainty over U.S.-China trade talks ahead of a Dec. 15 tariff deadline while investors looked to the U.S. Federal Reserve's policy meeting for cues on its 2020 monetary outlook.

Spot gold rose 0.4% to $1,467.00 an ounce at 1323 GMT, while U.S. gold futures gained 0.5% to $1,471.50. Silver gained 0.4% to $16.66.

If Washington proceeds with the earmarked tariffs, risk aversion is likely to engulf financial markets until the end of the year, boosting gold.

A weaker dollar against versus major currencies also offered support for bullion.

UBS notes, Gold has defended the $1,450/oz level despite a U.S.-China trade deal appearing increasingly likely and unexpectedly strong U.S. jobs data. However, if the Fed shifts to a more hawkish assessment, gold is at risk from further repositioning.

Technically this could pull prices back to $1,410/oz.

The Fed is expected to keep rates unchanged at its two-day meeting ending on Wednesday, with investors awaiting policymakers' forecasts for U.S. economic growth.

Lower interest rates reduce the opportunity cost of holding non-yielding bullion and weigh on the dollar.

Markets are also focused on the British election on Thursday after the country's economy grew at its slowest annual pace in nearly seven years in October.

The European Central Bank is expected to keep interest rates steady at its meeting this week.


       
  Rate this story 1 out of 52 out of 53 out of 54 out of 55 out of 5 Rated
0.0

   Post comment
Comment :

Note : This forum is moderated. We reserve the right to not publish and/or edit the comment on the site, if the comment is offensive, contains inappropriate data or violates our editorial policy.
Name :  
Email :  
   

Top | Post Comment  

Latest Market Commentary
China 2019 Gold Consumption Drops 13% On High Prices
Precious Metals Gold (COMEX) Approaching A Major Re...
Precious Metals Silver (Mar 20) Initiate Long Posi...
Comex Gold Hits 2-Wk High On Safe-haven Demand
Comex Gold Up On Safe-Haven Interest; SPDR Holdings On ...
more
Top 5 News
Spot Mentha Falls Further On Sluggish Demand
Domestic Sugar Prices Rule Unchanged
Spot Jeera Prices Remain Steady; Futures Tumble Over 1%...
Crude Oil Slides As Supply Concerns Ease
Spot Coriander Remains Mostly Steady Amid Better Crop P...
Top 5 Special Reports
Govt May Have To Import More Urad Amid Supply Shortage
USD/INR (Jan. 20) Attempting a Bounce-back from Supp...
USDMYR
USDCNY-CHINESE YUAN/USDIDR-INDONESIAN RUPIAH
USDARS-ARGETINE PESO/USDBRL-BRAZILIAN REAL
Copyright © CC Commodity Info Services LLP. All rights reserved.