Monday, 26 September 2016

Gold Slips on Firm Dollar

Gold slips on firm dollar; US presidential debate outcome await  
For details visit us @ 
Give a Missed Call at "989-33-582-33"
Gold prices edged lower on Monday as the dollar firmed, though the market is focused on the outcome of the US presidential debate later on Monday that could see investors buying more of the metal as a hedge against financial uncertainty. Spot gold was down 0.3 per cent to $1,332.88 an ounce by 0324 GMT. US gold futures fell 0.3 per cent to $1,337.60 an ounce. The US presidential debate between Republican Donald Trump and Democrat Hillary Clinton will take place at 0100 GMT on Tuesday, with investors looking for indications of who could win the race to lead the world’s biggest economy. 

If Trump is perceived to have an improved probability of winning the Presidential race, that is likely to be supportive of the gold prices, so we could see (gold) prices rallying in the short term amidst higher volatility,” said NAB analyst Vyanne Lai. 

Generally Trump’s presidential candidacy is associated with more extreme policy measures and more volatility in the geopolitical landscapes.” The dollar was mostly flat at 100.94 yen after touching a low of 100.68 yen. The dollar index, which measures the greenback against a basket of currencies, was firm at 95.456. 

We expect gold to continue to hold its recent $1,330 - $1,340 range in the lead up to the presidential debate,” MKS PAMP Group trader Sam Laughlin said. Boston Federal Reserve President Eric Rosengren had said on Friday that he believed interest rates should be raised gradually now and warned that a fall in the unemployment rate below its sustainable level could derail economic recovery in the United States.

1 comment: