Showing posts with label Commodities. Show all posts
Showing posts with label Commodities. Show all posts

Sep 28, 2020

Gold Price Report: Gold rises, erasing losses as dollar retreats from highs

 

2-3 minutes - 


Twenty kilogram gold and silver bricks sit at the ABC Refinery smelter in Sydney, New South Wales, Australia, on Thursday, July 2, 2020.

Twenty kilogram gold and silver bricks sit at the ABC Refinery smelter in Sydney, New South Wales, Australia, on Thursday, July 2, 2020.

David Gray | Bloomberg via Getty Images.

Gold rose on Monday, erasing early losses as the dollar retreated from a two-month peak ahead of the U.S. presidential debates this week, although a stock market rebound capped gains in bullion.

Spot gold gained 1.0% to $1,878.33 per ounce, while U.S. gold futures settled up 0.9% at $1,882.30.

“Gold has started to recuperate losses as the dollar has eased and real rates have edged lower,” said Standard Chartered analyst Suki Cooper.

“There are plenty of risk events this week for gold to take its cue from, ranging from the first of three U.S. presidential debates to unemployment and inflation data,” she added.

President Donald Trump and former Vice President Joe Biden will face each other in their first presidential debate on Tuesday.

The dollar index eased 0.4% from a two-month peak hit in the last session against a basket of currencies.

Gains in bullion were limited as the equities climbed, mainly boosted by data over the weekend showing profits at China’s industrial firms grew for the fourth straight month in August.

“Gold has found a new key technical support level at $1,850. You are probably seeing gold investors starting to feel a little more positive about scaling back into gold,” said Edward Moya, senior market analyst at OANDA in New York.

“The fact that gold is down over a couple of hundred dollars from its record highs, investors see this as a good opportunity to get in.”

Despite the gains on Monday, gold is down about 10% from a record peak of $2,072.50 hit in August. The metal posted its biggest weekly decline since March 13 on Friday.

Silver jumped 2.9% to $23.52 per ounce, platinum climbed 4% to $880.93 and palladium rose 1.7% to $2,253.00.

Sep 22, 2020

Commodities | Gold Price Report: Gold drops as dollar extends gains; focus on Fed commentary

 

2-3 minutes


A gold bar is wrapped in a financial newspaper.

A gold bar is wrapped in a financial newspaper.

GSO Images | Getty Images

Gold fell for a second straight session on Tuesday as the dollar climbed to a near two-month peak, with investors keeping a close eye on remarks from U.S. Federal Reserve officials on the state of the economy.

The path ahead for the economy remains uncertain and the U.S. central bank will do more if needed, Federal Reserve Chair Jerome Powell told a congressional panel on Tuesday.

Separately, Chicago Federal Reserve President Charles Evans said the U.S. economy risks recession, if the U.S. Congress fails to pass a fiscal package.

Spot gold had fallen 0.4% to $1,904.34 per ounce, reversing earlier gains. U.S. gold futures settled down 0.2% at 1,907.60 per ounce.

A steep sell-off across asset classes on Monday dragged gold down to its lowest level since Aug. 12, at $1,882.70.

“When we see gold and equities down both at the same time, investors need cash. Precious metals are always a good source of raising cash. It was a factor yesterday but today we think it’s mostly dollar and technical,” said Chris Gaffney, president of world markets at TIAA Bank.

“The dollar is maintaining its strength and fundamentally that is weighing on gold prices.”

The dollar notched a high since late-July against a basket of other major currencies, with Washington’s lack of progress on reaching a fiscal stimulus agreement.

Expectations are that the passing of Justice Ruth Bader Ginsburg would create additional divisiveness between the Democrats and the Republicans, which would lead to a lesser possibility of a stimulus plan being put forth, said David Meger, director of metals trading at High Ridge Futures.

Rising coronavirus cases have cast a shadow on hopes of quick economic recovery and prompted central banks to loosen their monetary stance, helping gold prices climb about 25% so far this year.

But, gold has pared gains since hitting a record peak in August as the U.S. Congress for weeks has remained deadlocked over the size and shape of its next coronavirus-response bill.

Elsewhere, silver fell 1.5% to $24.37, platinum

dropped 1.4% to $869.31 and palladium was down 1.1% to $2,248.03.

Nov 28, 2019

Commodities | Gold | Gold Price Report: Gold gains as Hong Kong tensions fuel trade deal doubts

3-4 minutes - Source: CNBC




GP: Gold Bars And Coins 181129
Canadian maple leafs sit on the faces of one ounce gold coins in London, the United Kingdom, on July 15, 2014.
Chris Ratcliffe | Bloomberg | Getty Images

Gold prices rose on Thursday as investors bought the safe-haven metal on doubts about whether the United States and China will seal a trade deal after President Donald Trump signed a legislation supporting Hong Kong protesters.
Palladium retreated slightly after hitting an all-time peak of $1,836.61 earlier in the session.
Spot gold was up 0.1% at $1,455.63 per ounce by 0659 GMT. U.S. gold futures rose 0.1% to $1,454.80.
Trump on Wednesday signed a legislation into law that requires the State Department to certify, at least annually,
that Hong Kong retains enough autonomy to justify favorable U.S. trading terms.
Beijing condemned the move and said it would take “firm counter measures.”
“With the latest developments of Trump signing the Hong Kong bill, there are doubts that there will be any deal, even a first phase,” said Jigar Trivedi, a commodities analyst at Mumbai-based Anand Rathi Shares & Stock Brokers.
“Even though they’ve said they will sign a deal by year-end, they’ve not talked about the venue, or who will go to whom. So, I don’t think the trade deal will be signed so easily and gold will be supported.”
Asian shares fell, while the safe-haven yen rose against the dollar on concerns that the protracted tariff dispute between the world’s two biggest economies could become more complicated.
Gold eased 0.5% in the last session on a raft of upbeat economic data from the United States. Economic growth picked up slightly in the third quarter, weekly jobless claims fell, while new orders for key U.S.-made capital goods increased.
“Global growth concerns have definitely eased, but not gone,” said John Sharma, an economist at National Australia Bank, adding gold would remain supported even if an interim deal is passed since the most complex issues, such as intellectual property, have been pushed down the road.
Gold, considered a safe store of value during economic or political uncertainties, has gained more than 13% this year, mainly due to the tariff dispute.
Among other precious metals, palladium shed 0.1% to $1,831.69 per ounce.
The autocatalyst metal used in vehicle exhaust systems to reduce harmful emissions has risen about 45% this year on a supply crunch. 
“Strong demand from China and sluggish supply growth have tightened palladium’s physical market this year...,” ANZ said in a note.
Platinum was flat at $892.95 per ounce and silver rose 0.1% to $16.96 per ounce.

Nov 27, 2019

Commodities | Gold | Gold Price Report: Gold drops as trade deal hopes boost Wall Street to record

3minutes - Source: CNBC




GP: Gold bar in hand 171122
A worker holds a gold bullion on January 13, 2015 at Istanbul Gold Refinery in Istanbul, Turkey.
Ozan Kose | AFP | Getty Images

Gold fell on Wednesday as equities climbed to record levels bolstered by hopes that the United States and China were close to signing an initial trade deal. Also boosting risk appetite was robust U.S. economic data, which assured investors of the health of the country’s economy.
Spot gold dipped 0.47% to $1,454.28 per ounce, slipping five sessions in six. U.S. gold futures also shed 0.4% to $1,455 per ounce.
“Given the situation, the statements from the White House that the U.S.- China trade deal may be imminent is continuing to drive risk appetite a bit higher,” said Bart Melek, head of commodity strategies at TD Securities. “There is less interest in gold as a hedge, and a higher opportunity cost to hold zero yielding assets like gold.”
Wall Street hit fresh record levels on Wednesday while world shares were close to notching a record peak in the session after U.S. President Donald Trump said the world’s two largest economies were in the “final throes” of signing an initial trade deal. Market confidence was buoyant and investors moved away from safe-haven gold.
The CBOE VIX equity volatility index, often referred to as a fear gauge, was at seven-month lows. Lack of signs of further monetary policy easing in the near term by the U.S. Federal Reserve did little to support gold. Fed Chair Jerome Powell said on Monday that monetary policy was “well positioned” to support the strong U.S. labor market.
Higher interest rates boost the dollar, making dollar-denominated gold more expensive for buyers using other currencies, and they reduce investor interest in non-yielding bullion. Boosting market sentiment, U.S. economic growth picked up slightly in the third quarter, rather than slowing as initially reported, assuring markets that the world’s largest economy was healthy despite fears of the impact of the long-drawn trade war.
Weekly jobless claims also declined, while core capital goods ordered posted their biggest gain in nine months.
“Gold remains range-bound with hard support sitting toward $1,445-$1,450... While top-side resistance cuts in toward $1,475-$1.480,” analysts at MKS PAMP said in a note.
Among other precious metals, silver dropped 0.5% to $16.98 per ounce, platinum was down 1.6% to $893.25. Palladium gained 0.6% to $1,819.82 an ounce.

Nov 26, 2019

Commodities | Gold | Gold Price Report: Gold edges off 2-week lows as China-US trade caution lingers

3minutos - Source: CNBC




GP: Gold bars 171204
An employee arranges gold bars for a photograph at the YLG Bullion International headquarters in Bangkok, Thailand on January 13, 2016.
Dario Pignatelli | Bloomberg | Getty Images
Gold prices edged higher from a two-week low hit earlier on Tuesday, as equities retreated from multi-year highs, with investors awaiting more details on the imminent trade agreement between the United States and China.
Spot gold was up 0.42% at $1,460.98 an ounce. U.S. gold futures settled up $3.4 at $1,460.3. Gold earlier touched its lowest since Nov. 12 at $1,450.30, having posted losses in the previous four sessions.
“The only story here is the China-U.S. (trade deal). Last few sessions gold has been selling off on hopes for a U.S.-China deal. Right now, gold is paused here and is in kind off wait-and-see (mode),” said Bob Haberkorn, senior market strategist at RJO Futures.
China’s Vice Premier Liu He, U.S. Trade representative Robert Lighthizer and U.S. Treasury Secretary Steven Mnuchin discussed issues related to the phase one agreement on Tuesday, China’s commerce ministry said.
“The talk on the streets is that the phase one deal is going to be a non-event. People believe that there would be a deal but very little substance in it,” said Michael Matousek, head trader at U.S. Global Investors. “The market is going to be wandering around aimlessly for another week or two, until we get more information out of the Federal Reserve coming into December and the China trade deal.”
However, despite optimism in the market for a conclusion to the protracted trade war between the world’s two largest economies, analysts believe that gold is going to remain bullish in the longer term. Speculators increased their bullish positions in COMEX gold and silver in the week to Nov. 19, the U.S. Commodity Futures Trading Commission (CFTC) said on Friday.
“The reason why you are seeing CFTC positions increasing is because people are looking long term and are worried about equities being too hot right now,” Haberkorn said. “They are concerned about a large sell-off in equities with how high they have got so fast.”
Global equities edged off their highest in almost two years, but kept record levels in sight. Safe-haven bullion has gained over 13% so far this year.
Elsewhere, silver was up 1% at $17.07 per ounce. Palladium inched up 0.7% to $1,810.75, having earlier touched its highest since Nov. 4, while platinum gained 0.7% to $903.27 .

Nov 18, 2019

Commodities | Gold | Gold Price Report: Gold erases losses as US-China trade hopes ebb

2-3 minutos - Source: CNBC




GP: Gold Bars And Coins 181129
Canadian maple leafs sit on the faces of one ounce gold coins in London, the United Kingdom, on July 15, 2014.
Chris Ratcliffe | Bloomberg | Getty Images

Gold firmed on Monday, erasing losses from earlier in the session as fresh doubts over a U.S.-China trade deal pushed Wall Street into the red.
Spot gold was up 0.29% at $1,471.4 per ounce as of, reversing course from earlier when prices fell to as low as $1,455.82 on optimism that constructive trade talks had taken place between the world’s two largest economies over the weekend. U.S. gold futures settled up 0.22% to $1471.9 per ounce.
However, a report that Beijing was not as optimistic, owing to U.S. President Donald Trump’s reluctance to roll back tariffs, threw cold water over market cheer and on world shares that were near record levels.
“I am surprised how robustly the market reacts (to news on the trade talks). This isn’t the first time we have had this news, but the market keeps responding,” said Bart Melek, head of commodity strategies at TD Securities, adding that the report on pessimism from Beijing has triggered a rebound in gold prices. “It looks like gold is seeking a move towards $1,480, which is the 100-day moving average.”
The 16-month long Sino-U.S. tariff war has fanned recessionary fears, but recent optimism over a phase one deal has driven a rally in equity markets.
Gold is generally considered to be an attractive investment during times of political or economic uncertainty. Market participants now await minutes of the U.S. Federal Reserve’s last policy meeting, due on Wednesday, for clues about the future interest rate trajectory.
Gold is highly sensitive to interest rates, as lower interest rates reduce the opportunity cost of holding the non-yielding bullion. Investors also kept a close eye on developments in Hong Kong, with police on Monday trapping hundreds of protesters inside a major university and demonstrators rampaging through a tourist district, after almost two straight days of standoffs.
Among other metals, silver gained 0.3% to $17 an ounce and palladium rose 1.4% to $1,728.02 an ounce. Platinum rose 0.4% to $892.55, extending gains for a fourth straight session.

Nov 15, 2019

Commodities | Gold | Gold Price Closing Report on Friday 15, November 2019: Gold slips as trade optimism derails safe-haven demand

3minutos - Source: CNBC




GP: Gold bars 171005
One kilogram gold bars are displayed for a photograph at the YLG Bullion International headquarters in Thailand on January 13, 2016.
Dario Pignatelli | Bloomberg | Getty Images
Gold prices slipped on Friday, on track to break a three-session winning streak as stock markets hit record highs following comments from U.S. officials that progress was being made on the “phase one” trade agreement with China.
Spot gold was down 0.3% at $1,466.78 per ounce. U.S. gold futures settled down 0.3% at $1,468.50 per ounce.
“Overall trading gold has been impacted by the trade war and there is tremendous optimism with the final stages of getting stage one deal ratified,” said Edward Moya, a senior market analyst at OANDA. “This has been the biggest headwind for the global economy and a major de-escalation is derailing the safe-haven demand (for gold).”
Gold prices have gained more than 14% so far this year as the trade dispute between the world’s biggest economies roiled financial markets, stoking fears of a global economic slowdown and prompting major central banks to reduce interest rates.
Wall Street’s main indexes hit record highs at the open on upbeat comments related to U.S.-China trade talks and strong earnings. U.S. Commerce Secretary Wilbur Ross said U.S.-China trade talks were set to continue with a telephone call on Friday as both sides seek to hammer out a phase one trade pact. Gold prices retreated from a near one-week peak hit on Thursday, but were still set for a weekly gain of about 0.6%.
“This week’s been a story of gold really trying to claw back some of the losses from the previous week, and it has done that to a degree, we are up from the lows from $1,450 and gold is attempting to get back above the 100-day moving average,” said Mitsubishi analyst Jonathan Butler.
“Next week we’ve got some interesting data - the manufacturing PMIs and FOMC meeting minutes coming out which will show whether there were any dissenting voices in U.S. Federal Reserve arguing for stronger set of rate cuts or whether the consensus was really for keeping the rates on hold.”
U.S. Federal Reserve Chair Jerome Powell on Wednesday signalled no further cuts will occur unless there is a “material” change in the economic outlook.
Among other precious metals, silver fell 0.4% to $16.95 per ounce, but was on track for a gain of about 0.9% for the week. Platinum rose 1.2% to $891.19 per ounce and was set to register a rise of about 0.5% this week. Palladium was down 1.4% at $1,713.11 per ounce, on course to fall for the second straight week at about 1.7%.

Nov 14, 2019

Commodities | Gold | Gold Price Report: Gold rises on waning trade optimism, dip in equities

3minutos - Source: CNBC




GP: Gold and Silver Casting at the Perth Mint 190918
Gold bars sit in a vault at the Perth Mint Refinery in Perth, Australia, on August 9, 2018.
Carla Gottgens | Bloomberg | Getty Images
Gold rose on Thursday, moving further away from a three-month low hit earlier this week, helped by uncertainty in U.S.-China trade ties that dented demand for riskier assets.
Spot gold rose 0.5% to $1,470.68 per ounce, having climbed to a high of $1,471.45. U.S. gold futures also rose 0.6% to $1,471.50 per ounce.
“Gold is primarily reacting to technical trends and over the last week we have seen the price come down below the support level of $1,470 ... and now we’re trying to break above that,” said Jeffrey Christian, managing partner of CPM Group.
Gold prices fell to a more than 3-month low of $1,445.18 an ounce on Tuesday. However, prices have risen since then as stock markets dipped, improving demand for bullion. World stocks nudged down on Thursday as Chinese economic data slowed in October and Germany only narrowly avoided a recession in the third quarter, adding to worries about the global growth fallout from the U.S.-China trade war.
“Gold should be in greater demand at least in the short term because the negotiations of a partial agreement in the trade dispute between the U.S and China appear to have stalled,” Commerzbank analyst Daniel Briesemann said in a note.
A Reuters poll of economists showed the U.S.-China trade war was unlikely to reach a permanent truce over the coming year, and while concerns have eased over a U.S. recession, an economic rebound is also not expected any time soon.
Earlier in the week, U.S. President Donald Trump said a trade deal with China was “close” but offered no details and warned he would raise tariffs “substantially” on Chinese goods without such an accord.
Also supporting safe-haven gold were worries about spiralling violence in Hong Kong as anti-government protesters paralysed parts of the city for a fourth day.
“The bulls now need to reclaim a few former support levels such as $1,480, $1,495 and ideally $1,515 before the technical outlook improves markedly. But first thing is first: they need to hold today’s breakout above short-term resistance at $1,467ish,” said Fawad Razaqzada, market analyst with Forex.com.
Meanwhile, holdings of the world’s largest gold-backed exchange-traded fund, SPDR Gold Trust , eased slightly to 896.77 tonnes on Wednesday.
Among other precious metals, palladium gained 1.4% to $1,733.28 per ounce. Silver rose 0.5% to $17.03 per ounce, while platinum was up 0.4% at $877.42 per ounce.

Nov 13, 2019

Commodities | Gold | Gold Price Report: Gold rises as trade deal doubts pressure equities

3minutos - Source: CNBC




GP: Gold bars 180809
Gold bars sit in a vault at the Perth Mint Refinery, operated by Gold Corp, in Perth, Australia, on August 9, 2018.
Carla Gottgens | Bloomberg | Getty Images
Gold gained on Wednesday as U.S. President Donald Trump’s speech on the trade ties with China diminished optimism for a deal and dented risk appetite.
Spot gold rose 0.4% to $1,462.43 per ounce. U.S. gold futures rose 0.66% to $1,463.3.
“President Trump talked about raising tariffs eventually if there is no resolution or any deal on phase one and that seems to be enticing buyers to gold,” said Michael Matousek, head trader at U.S. Global Investors.
“Over the longer term, as an investment it (gold) is still the safe haven. People still want to own it, the overall trend is still up.”
Trump on Tuesday said a trade deal was “close” but gave no new details on when or where an agreement would be signed, disappointing investors in what was billed as a major speech on his administration’s economic policies.
He also rattled some investors by threatening China with even more tariffs if the two countries do not reach a deal.
The trade uncertainty weighed on U.S. equities, with further pressure coming from ongoing protests in Hong Kong.
Anti-government protesters in Hong Kong planned to paralyze parts of the Asian financial hub for a third day, with transport, schools and many businesses closing after violence escalated across the city.
Investors also took stock of latest comments from the U.S. Federal Reserve, with Fed Chair Jerome Powell saying that the central bankers see a “sustained expansion” ahead for the U.S. economy, while the full impact of recent interest rate cuts has yet to be felt.
Meanwhile, U.S. CPI data was better than expected as consumer prices for the month of October rose by 0.4%, exceeding expectations.
Gold’s reaction to Powell’s comments, however, was relatively muted.
“They’re (the Fed) not going to make any kind of move on interest rates. So as a result of that gold futures continue to remain firm,” said Phillip Streible, senior commodities strategist at RJO Futures.
Gold is highly sensitive to rising interest rates, which lift the opportunity cost of holding non-yielding bullion.
Among other precious metals, palladium climbed 0.8% to $1,712.55 an ounce. The metal hit an all-time high of $1,824.50 on Oct. 30 as a result of a sustained supply crunch.
The auto-catalyst metal, could, however, be headed for a pullback, RJO Futures’ Streible said.
Silver gained 0.7% to $16.89 per ounce and platinum was up 0.4% to $872.09 an ounce and was set to end four straight sessions of declines.

Nov 12, 2019

Commodities | Gold | Gold Price Report: Gold prices dip on upbeat appetite for riskier assets

3minutos - Source: CNBC




GP: Gold and Silver Casting at the Perth Mint 190620
An employee arranges one kilogram gold bars at the Perth Mint Refinery in Perth, Australia, on Aug. 9, 2018.
Carla Gottgens | Bloomberg | Getty Images
Gold slipped on Tuesday to its lowest in more than three months on increased appetite for riskier assets, while U.S. President Donald Trump failed to provide any information on the trade deal with China in his speech.
Spot gold slipped 0.1% to $1,453.70 per ounce, having touched its lowest since Aug. 5 earlier. U.S. gold futures settled down 0.2% at $1,453.70 per ounce.
“The problem for gold right now is (Treasury) yields have risen, the probability that the Federal Reserve will tighten (monetary policy) has dropped and the equities market has returned very well,” said Bart Melek, head of commodity strategies at TD Securities.
Any reduction in aggressive behaviour on the trade front would drive investors away from bullion, he said.
World shares and benchmark government bond yields inched up, while the S&P 500 and Nasdaq indexes rose to record highs.
Meanwhile, the market was looking out for any reassurances on the Sino-U.S. trade agreement and for any delay in a decision on European car tariffs from Trump’s address at the Economic Club of New York.
“There is guarded optimism (in the market) and we are tilting to the idea that there’ll be some deal done, may be not as comprehensive as both the side were arguing,” Melek added.
However, Trump took aim once again at the Fed for its interest rate policy in a highly anticipated speech that offered no fresh details on his administration’s long-running trade war with China.
Gold, considered a safe store of value during economic and political uncertainties, has risen about 13% so far this year on concerns regarding the U.S.-China trade resolution and monetary policy easing by global central banks.
“The precious metals bulls are trying to stabilize their markets after recent strong selling pressure has driven prices to three-month lows,” Kitco Metals senior analyst Jim Wyckoff said in a note.
Bullion fell 3.6% in the previous week and extended declines into a fourth straight session on Tuesday.
Also on investors’ radar was continuing unrest in Hong Kong, with a senior officer saying the protests had brought the city to “the brink of total breakdown.”
Among other precious metal, palladium gained 0.8% to $1,700.60 per ounce, having touched a one-month low in the previous session.
Silver dropped 0.7% to $16.74 an ounce, and platinum fell 0.8% to $868.86, after touching its lowest since Aug. 28 earlier in the session.

Nov 11, 2019

Commodities | Gold | Gold Price Report: Gold slips to over 3-month low as equities rise on 'risk-on' sentiment

3minutos - Source: CNBC




GP: Gold bullion bars 190920
An employee arranges one kilogram gold bars for a photograph in Bangkok, Thailand, on January 13, 2016.
Dario Pignatelli | Bloomberg | Getty Images
Gold fell on Monday to its lowest price in more than three months, dragged below technical support as upbeat risk sentiment kept U.S. stock indexes close to record levels, while investors awaited news on the U.S.-China trade.
Spot gold fell 0.2% to $1,455.47 per ounce, having touched its lowest since Aug. 5 earlier. U.S. gold futures fell 0.4% to $1,456.50.
“Overall, the outlook for (wider markets) seems more positive,” said Tai Wong, head of base and precious metals derivatives trading at BMO, adding the immediate trigger for gold’s decline was technical, since it failed to hold above $1,460.
“Before the trade-driven August rally, we were in a $1,380-$1,440 range so we could trade down somewhere into that level.”
U.S. stocks bounced off lows on Monday and hovered near record levels hit the previous week. But investors remained cautious about U.S.-China trade negotiations after U.S. President Donald Trump said Beijing wanted a deal more than he did.
Trump also said that there had been incorrect reporting about Washington’s willingness to lift tariffs. Wall Street’s bounce “took everything out of gold that it had going today,” said Bob Haberkorn, senior market strategist at RJO Futures.
Gold slumped 3.6% last week for its biggest weekly decline in three years on upbeat equities and optimism surrounding the U.S.-China trade deal.
“Gold is waiting for the next big fundamental development,” Kitco Metals senior analyst Jim Wyckoff said. He said a stock market decline could boost bullion, as could a worsening of unrest in Hong Kong, where protesters threw petrol bombs at police after a weekend of clashes across the Chinese-ruled territory.
“If that situation (in Hong Kong) deteriorates further, that could give gold a safe-haven lift,” Kitco’s Wyckoff added.
Among other precious metals, palladium dropped 2.4% to $1,700.45 per ounce, having touched lowest since Oct. 14 earlier.
“It’s more of a short term, though possibly sharp, correction like we had in the beginning of August before it embarked on a $400-30% rally. The market has been and remains quite long so, the weakest hands will always liquidate on price retreats,” BMO’s Wong said.
Platinum slipped 0.9%, to $878.78 per ounce, after touching its lowest since Oct. 4, while silver rose 0.2% to $16.83 after slipping to its lowest in mid-August earlier in the day.

Nov 9, 2019

Commodities | Gold | Gold Price Report on November 8, 2019 : Gold hits 3-month low, faces biggest weekly drop in 3 years

3minutos - Source: CNBC




GP: Gold bar in hand 171122
A worker holds a gold bullion on January 13, 2015 at Istanbul Gold Refinery in Istanbul, Turkey.
Ozan Kose | AFP | Getty Images
Gold extended losses to hit a three-month low on Friday as positive developments around the U.S.-China trade deal tarnished the metal’s safe-haven appeal, putting the metal on track for its biggest weekly decline in three years.
Spot gold was down 0.42% at $1,461.64 per ounce, poised for its biggest weekly drop - about 3.2% - since November 2016. It fell to its lowest level since Aug. 5 at $1,455.80 earlier. U.S. gold futures was down 0.25% at $1,462.8 per ounce.
“We are seeing a rally in risk markets, dollar surge and equities reaching all time high. There had been a portion of long positions built up in the last few months and we are starting to see those liquidating,” said Ryan McKay, a commodity strategist at TD Securities.
″(Also,) we have had a lot of optimism on the trade front, a lot of news on potential rollback on tariffs and the China deal, which had been the major headwind for growth throughout the last year.”
Tariffs could be lifted amid the U.S.-China trade deal if an agreement is reached, a White House spokeswoman said, giving no further details.
The dollar hit a three-week high against key rivals, while the world stock markets were cautious, a day after they surged to a 21-month high.
Uncertainty about the trade talks, however, prevailed as U.S. President Donald Trump on Friday told reporters that he has not agreed to roll back tariffs on China.
“We are trading on a lot of speculation right now and there’s no solid evidence or anything specific,” said Craig Erlam, OANDA senior market analyst, adding gold could move back to $1,440 if a “phase 1″ trade deal were signed next month.
The Sino-U.S. trade war was one of the key reasons for bullion, which is considered as a safer asset during economic and political uncertainties, to have risen about 14% so far this year.
Gold also benefited from dovish monetary policies by global central banks along with the Federal Reserve, which had slashed its benchmark interest rate for the third time this year.
However, the Fed’s decision to hold back on further cuts until the economy takes a downturn weighed on the bullion, analysts said.
Elsewhere, silver dropped 1% to $16.94 per ounce, having touched its lowest since Aug. 13, and was set to post its steepest weekly drop since October 2016.
Platinum fell 2.1% to $889.60 per ounce, poised for a weekly drop, while palladium lost 2.9% to $1,749.76 and was headed for its first weekly decline in five.

Nov 7, 2019

Commodities | Gold | Gold Price Report: Gold slides over 1% to one-month low on trade deal hopes

3-4 minutos - Source: CNBC




GP: Gold Bar Casting At Valcambi SA Precious Metals Refinery 191018
A mark of 999.9 fine sits on hallmarked one kilogram gold bullion bars at the Valcambi SA precious metal refinery in Lugano, Switzerland, on April 24, 2018.
Stefan Wermuth | Bloomberg | Getty Images
Gold slid more than 1% on Thursday to its lowest level in over a month as U.S. Treasury yields jumped and global equities markets cheered China and United States’ agreement to cancel some tariffs in phases.
Spot gold was down 1.4% at $1,469.03 per ounce, having slipped to $1,467.71 its lowest since Oct. 1 earlier. U.S. gold futures fell 1.5% to $1,470.70.
“Postponing the China tariff deal was adding to uncertainties, but it seems that there is some agreement to remove some tariffs before year end... China has a weakening economy and needs to make a deal,” said George Gero, managing director at RBC Wealth Management.
China and the United States have agreed to cancel, in phases, the tariffs imposed during their protracted trade war, the Chinese commerce ministry said, without specifying a timetable.
The news lifted Europe’s share markets to a more than four-year peak and benchmark U.S. Treasury yields rose to their highest since early August, hurting bullion’s safe-haven appeal.
Adding further pressure on the yellow metal was a firm dollar, which was at a three-week high against key rivals.
Gold was also trading below its 100-day moving average of about $1,476 an ounce for the first time since May.
“Gold is in danger of breaking below its key recent range as trade optimism continues to drive a global risk-on rally move that is driving both global bond yields and the major indexes sharply higher,” said Edward Moya, a senior market analyst at OANDA.
“Gold’s longer-term bullish outlook should still be reasserting itself, but that might not happen until we see a major selloff that targets the $1,450 an ounce level.”
The 16-month tit-for-tat tariff war between the world’s two biggest economies is one of the key reasons that gold, a safe-haven asset during times of economic and political uncertainty, has jumped over 14% so far this year.
Bullion had also gained this year on the back of easing monetary policy by global central banks along with the Federal Reserve, which had slashed its benchmark interest rate for the third time this year.
The Fed’s stance that there would be no further reductions in interest rates unless the economy takes a turn for the worse has also weighed on bullion, RBC’s Gero said.
Among other precious metals, silver dipped 2.3% to $17.21 per ounce, after touching its lowest since Oct. 16.
Platinum fell 1.2% to $917.64 per ounce, while palladium gained 0.2% to $1,796.08 per ounce.

Nov 6, 2019

Commodities | Gold | Gold Price Report: Gold prices edge up on US-China trade deal jitters

3-4 minutos - Source: CNBC




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Close up image of assorted gold ingots and gold coins.
Anthony Bradshaw | Getty Images
Gold prices firmed on Wednesday, slightly recovering from a 2% decline in the previous session, as doubts about a breakthrough in the U.S.-China trade deal buoyed demand for the safe-haven metal.
Spot gold rose 0.3% to $1,488.01 per ounce. U.S. gold futures were up 0.4% at $1,489.60.
In the previous session, bullion touched a three-week low of $1,479.25 and registered its biggest one-day percentage drop since late September at 1.7%.
Investors now await new developments on the talks after reports that China is pushing U.S. President Donald Trump to remove more tariffs imposed in September as part of a “phase one” trade deal.
“The fact that China is stepping up and saying, before we sign anything we are looking for rollbacks in tariffs, which brings into question whether the previous statement that a phase one deal could be signed in November has any validity,” said David Meger, director of metals trading at High Ridge Futures.
“If China is going to be unwilling to sign anything without rollbacks, that once again brings what could be a bone of contention to the potential for signing the ‘phase one’ deal.”
Global equities steadied on Wednesday, a day after the Nasdaq and Dow Jones industrial average hit new record peaks, as traders continued to watch incoming economic data and awaited new developments from trade talks.
There is a slight shift into risk-off assets, such as gold, as industrial productivity in the U.S. surprisingly fell, while the dollar index has weakened as well, supporting the bullion, said Phillip Streible, senior commodities strategist at RJO Futures.
The Labor Department said on Wednesday nonfarm productivity fell at a 0.3% annualized rate between July and September, the biggest decline in almost four years. Analysts had expected productivity growth of 0.9% during the quarter.
Further buoying demand for bullion, the dollar index slipped against key rivals, backing away from a near three-week high touched in the previous session.
“If we see a U.S.-China trade agreement, most likely there would be a knee jerk reaction in the gold market, which would selloff,” Streible said, adding prices would eventually recover as it might be difficult to get a complete overhaul of the trade deal.
The trade war is one of the key reasons for gold, a safe-haven asset during times of economic and political uncertainty, to have jumped over 15% so far this year.
In other precious metals, silver fell 0.1% to $17.57 per ounce, having touched its lowest since Oct. 17 earlier.
Platinum was down 0.2% at $927.21 per ounce. The metal hit a one-week low of $917. Palladium gained 1% to $1,795.19.

Nov 5, 2019

Commodities | Gold | Gold Price Report: Gold faces biggest fall in over a month as equities rally

3minutos - Source: CNBC




GP: Gold and Silver bars 190926
A one kilogram gold bar sits on top of silver bars at London bullion dealers Gold Investments in this arranged photograph in London, United Kingdom, on April 4, 2013.
Simon Dawson | Bloomberg | Getty Images
Gold fell more than 1% on Tuesday, en route to its biggest one-day dip in more than a month, as stock markets marched back toward record highs on expectations the United States may drop tariffs on Chinese imports.
Spot gold slid 1.3% to $1,490.09 per ounce, which could be its biggest one-day percentage drop since end-September. U.S. gold futures were down 1.3% to $1,491.70.
“The main factor (for gold’s slide) is the rollback in some of Chinese import tariffs and part of the ‘phase one’ trade deal going through,” said Bob Haberkorn, senior market strategist at RJO Futures.
“Also, global equities have been trading significantly higher in the last few sessions, coupled with a little bit of a break in the U.S.-China tariffs, putting pressure on anything where there is safety right now.”
China hopes for the removal of more tariffs imposed by the United States in September as part of a “phase one” U.S.-China trade deal, which may be signed this month by U.S. President Donald Trump and Chinese President Xi Jinping.
World shares climbed back toward record highs and safe-haven bonds tumbled, as the trade truce hopes rekindled optimism about the global economic outlook.
“Rallying world stock markets that saw the U.S. indexes score more record highs overnight are keeping demand for the safe-haven metals squelched,” Kitco Metals senior analyst Jim Wyckoff said in a note.
“Risk sentiment worldwide remains upbeat amid ideas the U.S. and China are very close to a partial trade deal.”
Stock markets also got a boost after the release of better-than-expected U.S. ISM non-manufacturing data for October.
Meanwhile, a slew of investment in gold-backed exchange traded funds (ETFs) offset a decline in purchases of jewelry, bars and coins to push global gold demand slightly higher in the third quarter, the World Gold Council (WGC) said on Tuesday.
Among other metals, silver dipped 1.9% to $17.70 per ounce and platinum fell 0.6% to $930.49 per ounce.
Palladium edged 0.6% lower to $1,768.36 an ounce, its weakest in nearly two weeks. The metal hit an all-time high of $1,824.50 on Oct. 30, driven by a sustained supply crunch for the autocatalyst metal.
“With palladium expected to stay in deficit and new mine-supply additions lacking next year, prices are likely to remain propped up to incentivize more scrap supply and curb demand growth,” UBS commodity analyst Giovanni Staunovo said in a note.

Nov 4, 2019

Commodities | Gold | Gold Price Report: Gold eases on upbeat risk sentiment

3-4 minutos - Source: CNBC




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An employee arranges gold bars for a photograph at the YLG Bullion International headquarters in Bangkok, Thailand on January 13, 2016.
Dario Pignatelli | Bloomberg | Getty Images
Gold edged lower on Monday as investors leaned towards riskier assets, driven by optimism on U.S.-China trade talks and fading fears of a global economic slowdown.
Spot gold fell 0.2% to $1,510.80 per ounce. U.S. gold futures were little changed at $1,513.40.
“For now, we are responding somewhat negatively to a robust equity market. There’s less interest to buy gold as a hedge, no big reason particularly since equity markets have done so well,” said Bart Melek, head of commodity strategies at TD Securities.
There may be no safe-haven demand for gold at least in the short run, he added.
Wall Street’s three main indexes opened at all-time highs as tech stocks gained on optimism over a U.S.-China trade deal and an improving domestic economy.
Washington and Beijing on Friday said they made progress in talks aimed at defusing a nearly 16-month-long trade war that has harmed the global economy, and U.S. officials said a deal could be signed this month.
Markets drew further optimism from U.S. economic data last week that eased apprehensions of a slowdown fuelled by the trade war.
Last week, the U.S. Federal Reserve cut interest rates for the third time this year, but signalled there would be no further reductions unless the economy takes a turn for the worse.
In Europe, the European Central Bank’s new head, Christine Lagarde, gives her first speech in the role later in the day and markets expect her to stick to an easy policy script left by her predecessor, Mario Draghi.
“The overall backdrop for gold with the shaky global growth, uncertainties related to trade tensions, weakening U.S. dollar that remains in place as we’re moving into 2020 - based on that we believe that gold will be higher,” said Julius Baer analyst Carsten Menke.
Speculators increased their net long positions in both gold and silver in the week to Oct. 29, data showed.
On the technical front, resistance for gold lay at $1,520.90 an ounce and then $1,525.00, while support was around $1,505.40 and further, at $1,500.00, Kitco Metals senior analyst Jim Wyckoff said in a note.
Among other metals, silver rose 0.3% to $18.13 per ounce.
Platinum rose 0.6% to $951.94 per ounce, having earlier hit its highest since Sept. 25 at $955.75, while palladium was unchanged at $1,805.49.
“Things will improve for the automotive industry next year and that means catalyst metals will be in more demand so we would not be surprised at all to see palladium move above $2,000 next year,” TD Securities’ Melek said.

Nov 1, 2019

Commodities | Gold | Gold Price Report (11/1/19): Gold slips on positive US jobs, China factory data

3-4 minutos - Source: CNBC




GP: Gold Bars And Coins 181129
Canadian maple leafs sit on the faces of one ounce gold coins in London, the United Kingdom, on July 15, 2014.
Chris Ratcliffe | Bloomberg | Getty Images
Gold prices eased on Friday as better-than-expected U.S. jobs numbers and strong factory data from China bolstered sentiment for riskier assets.
Spot gold dipped 0.2% to $1,510.82 per ounce. Prices were set for a weekly gain. U.S. gold futures were little changed at $1,513.20.
“For now, gold is under pressure with the positive economic news ... It will be struggling for some direction,” said Mitsubishi analyst Jonathan Butler.
“From here, it’s difficult to see what the major upside factors would be for gold other than some geopolitical events, with the U.S. Federal Reserve pretty set on keeping rates on hold for now.”
U.S. job growth slowed less than expected in October, while hiring in the prior two months was stronger than previously estimated, offering assurance that consumers would continue to prop up the slowing economy for a while.
The Fed cut interest rates for a third time this year, but signalled there would be no further reductions unless the economy takes a turn for the worse.
Lower interest rates generally reduce the opportunity cost of holding non-yielding gold and weigh on the dollar.
“While still above $1,500, it’s hard to build a case for a sustained bullish recovery currently as the metal remains sensitive to headlines,” MKS PAMP said in a note.
“Resistance levels sit toward $1,520-$1,525, with extension toward hard resistance at $1,535.”
Stock markets took comfort from the October U.S. jobs data and numbers showing China’s factory activity expanded at its fastest pace in more than two years.
Also lifting sentiment for riskier assets was a statement by U.S. President Donald Trump saying Washington and Beijing would soon announce a new venue for the signing of a “Phase One” trade deal, after protests in Chile resulted in the cancellation of a planned summit there this month.
In terms of the overall outlook for gold, however, the trend is positive with the metal likely consolidating before moving higher, said Edward Moya, a senior market analyst at OANDA, adding there are doubts that the trade war will get completely wrapped up and investors are also skeptical about jumping into the stock market rally.
“There’s a strong call for portfolio diversification and people prefer gold over Treasuries.”
In other precious metals, silver was down 0.3% at $18.07. Platinum rose 2% to $950.95 per ounce, after hitting its highest level since Sept. 25, at $952.20, en route to a weekly rise of about 3%.
Palladium was 0.8% higher at $1,808.01. The metal was set to mark a four-week gaining streak, having notched up a record high of $1,824.50 an ounce on Wednesday.

Oct 31, 2019

Commodities | Gold | Gold Price Report on October 31, 2019: Gold gains as dollar weakens after Fed's interest rate cut

3minutos - Source: CNBC




GP: Gold Bars 180213
Gold bars on display in Tokyo on September 27, 2010.
Yoshikazu Tsuno | AFP | Getty Images
Gold prices climbed on Thursday as the U.S. dollar weakened after the Federal Reserve cut interest rates for the third time this year, but signaled the monetary-easing cycle would be paused.
Hopes that the United States and China will sign a preliminary agreement and call a truce to their 16-month trade war was also a factor behind the Fed’s decision to signal that further rate cuts are on hold.
Spot gold was up 0.77% at $1,506.2 per ounce. Prices have risen nearly 2% this month. U.S. gold futures rose 0.82% to $1,508.9 per ounce.
“We took this step to help keep the economy strong in the face of global developments and to provide some insurance against ongoing risks,” Fed Chair Jerome Powell said.
Powell ticked off an extensive list of reasons why he feels the economy is doing well, and likely to continue to do so under the current stance of monetary policy - from robust consumer spending, strengthening home sales, and asset prices he considered healthy but not to a level of excess.
“Gold might not hold its current upside in the short run as it is likely to suffer a little as some recent economic data showed modest growth in the economy,” said Michael McCarthy, chief market strategist at CMC Markets, attributing the present rise in gold prices to a weaker dollar after Fed’s rate cut.
The dollar index against a basket of six major currencies dipped 0.3% to 97.36, making gold cheaper for holders of other currencies.
“A rise in inflation might be the next catalyst for gold buying in the short run, as the Fed is more likely to tighten with a higher inflation rate, making some investors hedge against it (inflation),” McCarthy added.
Asian shares cheered the rate cut and U.S. stock futures edged higher, with MSCI’s broadest index of Asia-Pacific shares outside Japan gaining 0.2%.
“While buoyed by a weaker dollar, if equities continue to outperform, it’s challenging to see gold move above the $1,510 critical primary resistance level,” AxiTrader market strategist Stephen Innes said in a note.
Among other metals, palladium gained slightly to $1,807.68, after jumping nearly 2% in the previous session, and was set to climb for a third consecutive month.
Silver edged up 0.8% to $18.01 an ounce, while platinum advanced 0.2% to $928.36 an ounce.

Oct 30, 2019

Commodities | Gold | Gold Price Report:Gold prices fall after Fed cuts interest rates

3minutos - Source: CNBC




GP: Gold and Silver Casting at the Perth Mint 190918
Gold bars sit in a vault at the Perth Mint Refinery in Perth, Australia, on August 9, 2018.
Carla Gottgens | Bloomberg | Getty Images
Gold prices edged higher on Wednesday having touched a one-week low in the previous session, as investors awaited a decision by the U.S. Federal Reserve on a widely anticipated rate cut.
Spot gold was up 0.2% at $1,490.23 an ounce. U.S. gold futures edged 0.2% higher to $1,493.20.
The U.S. central bank is set to share the statement of a two-day monetary policy meeting at 1800 GMT. Investors expect the Fed to lower rates by a quarter of a percentage point for a third time this year.
“Prices are relatively rangebound ... If the Fed signals a hawkish cut, that could spell more dollar strength in the near term and could suppress gold prices”, said Han Tan, market analyst at FXTM.
“However, if the Fed Chair Jerome Powell still has cognisance of the downside risks to the U.S. economy, of the economic headwinds, and he believes the door is wide open for more rate cuts going to 2020, then you could see some dollar weakness in the near term.”
A weaker greenback makes dollar-denominated gold cheaper for holders for other currencies.
Supporting gold, a rally in global shares stalled on worries that a Sino-U.S. first-stage trade deal could be delayed, after a U.S. administration official said an agreement might not be completed in time for signing in Chile next month.
“The demand for bullion will remain intact because the ‘phase 1’ trade deal doesn’t dismantle existing tariffs ... so given the deteriorating economic conditions and the swelling concerns over the global economic outlook, safe-haven assets like gold will remain supported going into 2020,” FXTM’S Tan said.
Data released on Tuesday showed U.S. consumer confidence fell for a third straight month in October, further helping gold.
Technically, “we would have a first bearish signal only below $1,480, while a rebound above $1,500 could open space for another recovery to $1,520,” ActivTrades chief analyst Carlo Alberto De Casa said in a note.
“As long as prices can remain above $1,460-$1,470, the main trend remains positive, despite the recent weakness.”
Investors also kept a close watch on Brexit developments, where Britain is set to hold a December election after Prime Minister Boris Johnson won approval from parliament for an early ballot.
Elsewhere, silver was steady at $17.80 an ounce, while platinum was unchanged at $920 and palladium was flat at $1,781.

Oct 29, 2019

Commodities | Gold | Gold Price Report: Gold falls to 1-week low on trade optimism; focus on Fed

2-3 minutos - Source: CNBC




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An Argor-Heraeus SA stamp sits on a 250 gram gold bar in Budapest, Hungary, on  March 10, 2016.
Akos Stiller | Bloomberg | Getty Images
Gold fell to a one-week low on Tuesday as hopes for a U.S.-China trade deal buoyed risk sentiment, while gold investors will watch how other financial markets react to this week’s Federal Reserve meeting at which the central bank is widely expected to cut U.S. interest rates.
Spot gold was down 0.4% to $1,487.08 per ounce. U.S. gold futures fell 0.4% to $1,489.40 an ounce.
“Gold is still down due to the general positive tone in the markets right now regarding the U.S.-China trade war and Brexit,” said Chris Gaffney, president of world markets at TIAA Bank, adding an expected interest rate cut by the Fed could lift gold back above $1,500.
U.S. President Donald Trump on Monday said he expected to sign a significant part of the trade deal with China ahead of schedule, boosting risk appetite. On Monday, the S&P 500 stock index jumped to a record high.
Washington was also considering an extension on tariff suspensions on $34 billion of Chinese goods.
The Fed meets on Tuesday and Wednesday, and investors see a 94% chance for a 25 basis point rate cut. The U.S. central bank has already lowered interest rates twice this year.
“The question is how much emphasis (Fed Chair Jerome) Powell will put on slowdown in global growth - if he really emphasises on that, the markets would think the rates could go lower, boosting gold,” said TIAA Bank’s Gaffney.
Lower interest rates make gold attractive as it reduces the opportunity cost of holding the metal.
“The bullish case for gold is still intact, it’s likely to be in a larger $1,485-$1,525 range for the next month or so,” said George Gero, managing director at RBC Wealth Management.
Elsewhere, deficit-ridden palladium was down 1% to $1,783.00 per ounce, having hit a record high of $1,808.81 on Monday.
“The market is in its eighth consecutive deficit year and is likely to stay in the ninth consecutive deficit year next year as well as supplies are not really growing,” UBS commodity analyst Giovanni Staunovo said.
Silver shed 0.4% to $17.79 per ounce, while platinum rose 0.1% to $919.41.

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