Precious-Gold hit 11-week high on correctional movement at the beginning of the week with investors putting an eye lid on Federal Reserve stimulus after downbeat United States new home sales last week.Gold is currently trading around $1,395.72 an ounce after hitting a high of $1,406.50 to hit a low of $1,391.75. The trading range expected for Monday could be between support at $1,365 and resistance at $1,420.
The shiny metal is currently trading near the highest level since June, noting that it started an upside trend since the end of June amid uncertainty about Fed stimulus withdrawal.Data released last week showed that it fell more than 13% in July, only to rise following expectations that the Fed may delay its intended stimulus scale back.
Minutes of July meeting showed that Fed policymakers were in favor of tapering stimulus this year should the economy shows signs of improvement.Hence, there could be further evidence in the coming NFP report which will give clues about the U.S. labor market, while the coming Fed meeting will be highly watched.
Gold has benefited from stimulus by central banks to hit an all-time high of $1,920.22 in September 2011, and, therefore any scale back by the Fed would put gold under pressure to reduce its appeal as a hedge against inflation.
The U.S. dollar, on the other hand, inched up against a basket of major currencies, as depicted by the dollar index, to hover around 81.46 from today’s opening of 81.39. Correctional moments seem predominant amid the absence of fundamentals from major economies.
Later in the week, eyes will focus on U.S. home sales, jobless claims, second-quarter GDP (second reading) and personal income.
- English (UK)
- English (India)
- English (Canada)
- English (Australia)
- English (South Africa)
- English (Philippines)
- English (Nigeria)
- Deutsch
- Español (España)
- Español (México)
- Français
- Italiano
- Nederlands
- Português (Portugal)
- Polski
- Português (Brasil)
- Русский
- Türkçe
- العربية
- Ελληνικά
- Svenska
- Suomi
- עברית
- 日本語
- 한국어
- 简体中文
- 繁體中文
- Bahasa Indonesia
- Bahasa Melayu
- ไทย
- Tiếng Việt
- हिंदी
Gold Drops Off $1400, Investors Focus On Fed Stimulus
Published 08/26/2013, 05:38 AM
Updated 07/09/2023, 06:31 AM
Gold Drops Off $1400, Investors Focus On Fed Stimulus
Latest comments
Loading next article…
Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.