Asian currencies were under pressure last week, with the Japanese yen falling to its lowest in 38 years
business14 hours ago
Gold prices firmed on Wednesday, as investors awaited minutes of the Federal Reserve's last policy meeting for further cues on the central bank's interest rate cut path.
Spot gold rose 0.4% at $2,338.88 per ounce by 0656 GMT. U.S. gold futures gained 0.6% to $2,346.80.
The dollar remained on the back foot after dovish comments from Fed Chair Jerome Powell. A weaker dollar makes bullion more attractive for other currency holders.
Ahead of the Fed minutes' release at 1800 GMT, Powell said on Tuesday the U.S. was back on a "disinflationary path", but policymakers needed more data before cutting rates.
The gold market has been holding a narrow range for a few weeks now, said Marex analyst Edward Meir, adding that bullion prices might move higher later this year with all these elections up in the air.
Next on investors' radar are the ADP employment and weekly jobless claims data due later in the day, and the nonfarm payrolls report due on Friday.
"The NFP release this week could shake things up (for the gold market) if we see a shift in rate-cut expectations," said Tim Waterer, KCM Trade's chief market analyst.
Traders see a 65% chance of a Fed rate cut in September, according to CME FedWatch Tool.
Lower rates reduce the opportunity cost of holding non-yielding bullion.
"There's a clear path for gold to outperform from here, likely fuelled by Western flows. Conversely, in the event that central bank demand drops drastically, rates remain high for longer and Asian investor sentiment flips, we could see a pullback in the second half," the World Gold Council said in its mid-year outlook report.
Spot silver rose 1.2% to $29.88 per ounce, a more than one-week high.
Platinum climbed 0.8% to $999.35 and palladium was flat at $1,021.
Asian currencies were under pressure last week, with the Japanese yen falling to its lowest in 38 years
business14 hours ago
The British fintech company has applied for a UK banking licence but three years on is still awaiting
business1 day ago
The country's exports and imports accounted for 2.1 per cent and 1.9 per cent of the global share, respectively
business1 day ago
The scheme covers 36,000 hectares in Algeria's Timimoune province
business1 day ago
Port closures could temporary halt shipments of crude oil to refineries and motor fuels from those plants
business1 day ago
Kreative Konnections seeks to cash in on untapped segment
business3 days ago
Only 5.2 million people of the more than 240 million population filed income tax returns in 2022
business4 days ago
Construction of the mall is scheduled to be completed in the second half of 2026
business4 days ago