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Gold rises as dollar weakens

A slightly weaker US dollar saw gold prices recover some of the losses achieved earlier in the week

Reuters 

Gold rises as dollar weakens

rose over 1% on Monday, recovering from a 9-1/2 month low in the previous session, as the US extended losses after touching a 14-year highs touched last week.

"A slightly weaker US saw prices recover some of the losses achieved earlier in the week. Buying also emerged as prices hit a key technical level," ANZ analysts said in a note.

Spot was up 1.05% at $1,195.26 an ounce by 0252 GMT. The metal marked its lowest since Feb. 8 at $1,171.21 per ounce in the previous session.

US futures rose 1.43% to $1,195.20 per ounce.

The index, which measures the greenback against a basket of currencies, was down 0.76% at 100.720, after slipping 0.2% in the previous session, as US Treasury yields eased from recent peaks.

The metal has fallen about 7% so far this month on the back of a strong US and surging bond yields as investors bet that US President-elect Donald Trump's policies would spur growth and inflation.

That further cemented the case for a near-term Federal Reserve interest rate hike, minutes from the Fed's early November meeting showed.

A stronger greenback makes dollar-denominated expensive for holders of other currencies, while higher interest rates could dent the appeal of non-yielding bullion.

was riding on the back of weakness and the support for the yellow metal sits around $1,180 an ounce, while resistance comes in $1,200, MKS PAMP Group trader Sam Laughlin said.

Traders also said supply concerns in China after a directive from the People's Bank of China to limit import licenses, kept premiums in Shanghai around $22, driven by buoyant demand.

premiums in top consumer China jumped to the highest in nearly three years last week on supply worries.

Demands from South East Asia is also quite good and buying at lower prices could have driven prices higher, said Cameron Alexander, an analyst with Thomson Reuters-owned metals consultancy GFMS.

SPDR Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.73% to 885.04 tonnes on Friday from 891.57 tonnes on Wednesday.

Spot is expected to bounce to resistance at $1,210 per ounce as it has found support at $1,172, according to Reuters technical analyst Wang Tao.

Among other precious metals, silver gained 1.6% to $16.75 an ounce and palladium rose 0.3% to $743.13

Platinum was up 1.77% at $919.00.

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Gold rises as dollar weakens

A slightly weaker US dollar saw gold prices recover some of the losses achieved earlier in the week

A slightly weaker US dollar saw gold prices recover some of the losses achieved earlier in the week
rose over 1% on Monday, recovering from a 9-1/2 month low in the previous session, as the US extended losses after touching a 14-year highs touched last week.

"A slightly weaker US saw prices recover some of the losses achieved earlier in the week. Buying also emerged as prices hit a key technical level," ANZ analysts said in a note.

Spot was up 1.05% at $1,195.26 an ounce by 0252 GMT. The metal marked its lowest since Feb. 8 at $1,171.21 per ounce in the previous session.

US futures rose 1.43% to $1,195.20 per ounce.

The index, which measures the greenback against a basket of currencies, was down 0.76% at 100.720, after slipping 0.2% in the previous session, as US Treasury yields eased from recent peaks.

The metal has fallen about 7% so far this month on the back of a strong US and surging bond yields as investors bet that US President-elect Donald Trump's policies would spur growth and inflation.

That further cemented the case for a near-term Federal Reserve interest rate hike, minutes from the Fed's early November meeting showed.

A stronger greenback makes dollar-denominated expensive for holders of other currencies, while higher interest rates could dent the appeal of non-yielding bullion.

was riding on the back of weakness and the support for the yellow metal sits around $1,180 an ounce, while resistance comes in $1,200, MKS PAMP Group trader Sam Laughlin said.

Traders also said supply concerns in China after a directive from the People's Bank of China to limit import licenses, kept premiums in Shanghai around $22, driven by buoyant demand.

premiums in top consumer China jumped to the highest in nearly three years last week on supply worries.

Demands from South East Asia is also quite good and buying at lower prices could have driven prices higher, said Cameron Alexander, an analyst with Thomson Reuters-owned metals consultancy GFMS.

SPDR Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.73% to 885.04 tonnes on Friday from 891.57 tonnes on Wednesday.

Spot is expected to bounce to resistance at $1,210 per ounce as it has found support at $1,172, according to Reuters technical analyst Wang Tao.

Among other precious metals, silver gained 1.6% to $16.75 an ounce and palladium rose 0.3% to $743.13

Platinum was up 1.77% at $919.00.
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Business Standard
177 22

Gold rises as dollar weakens

A slightly weaker US dollar saw gold prices recover some of the losses achieved earlier in the week

rose over 1% on Monday, recovering from a 9-1/2 month low in the previous session, as the US extended losses after touching a 14-year highs touched last week.

"A slightly weaker US saw prices recover some of the losses achieved earlier in the week. Buying also emerged as prices hit a key technical level," ANZ analysts said in a note.

Spot was up 1.05% at $1,195.26 an ounce by 0252 GMT. The metal marked its lowest since Feb. 8 at $1,171.21 per ounce in the previous session.

US futures rose 1.43% to $1,195.20 per ounce.

The index, which measures the greenback against a basket of currencies, was down 0.76% at 100.720, after slipping 0.2% in the previous session, as US Treasury yields eased from recent peaks.

The metal has fallen about 7% so far this month on the back of a strong US and surging bond yields as investors bet that US President-elect Donald Trump's policies would spur growth and inflation.

That further cemented the case for a near-term Federal Reserve interest rate hike, minutes from the Fed's early November meeting showed.

A stronger greenback makes dollar-denominated expensive for holders of other currencies, while higher interest rates could dent the appeal of non-yielding bullion.

was riding on the back of weakness and the support for the yellow metal sits around $1,180 an ounce, while resistance comes in $1,200, MKS PAMP Group trader Sam Laughlin said.

Traders also said supply concerns in China after a directive from the People's Bank of China to limit import licenses, kept premiums in Shanghai around $22, driven by buoyant demand.

premiums in top consumer China jumped to the highest in nearly three years last week on supply worries.

Demands from South East Asia is also quite good and buying at lower prices could have driven prices higher, said Cameron Alexander, an analyst with Thomson Reuters-owned metals consultancy GFMS.

SPDR Trust, the world's largest gold-backed exchange-traded fund, said its holdings fell 0.73% to 885.04 tonnes on Friday from 891.57 tonnes on Wednesday.

Spot is expected to bounce to resistance at $1,210 per ounce as it has found support at $1,172, according to Reuters technical analyst Wang Tao.

Among other precious metals, silver gained 1.6% to $16.75 an ounce and palladium rose 0.3% to $743.13

Platinum was up 1.77% at $919.00.

image
Business Standard
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