Breaking News
Investing Pro 0
Cyber Monday Extended SALE: Up to 60% OFF InvestingPro+ CLAIM OFFER

Gold, Copper Head for Sharp Weekly Losses as Fed Rate Risks Increase

Commodities Sep 15, 2022 08:56PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.
 
XAU/USD
+0.36%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
Gold
+1.63%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
Copper
-0.22%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
US10Y...
-2.09%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
DXY
-0.24%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

By Ambar Warrick 

Investing.com-- Gold and Copper prices moved little on Friday, and were set for steep weekly losses as growing expectations of more sharp interest rate hikes by the Federal Reserve boosted the dollar and dented metal markets.

Spot gold prices were unchanged around $1,664.31 an ounce, while gold futures fell 0.3% to $1,673.15 an ounce by 20:21 ET (00:21 GMT). Both instruments plummeted around 2% on Thursday, and were set to lose about 3% for the week, their worst performance in over two months. 

Analysts had warned of more losses in gold after it slipped below $1,700- a key support level- earlier this week. 

Expectations of an at least 75 basis point rate hike by the Fed skyrocketed after U.S. inflation showed little signs of cooling in August. Signs of strength in the labor market also pointed to the Fed having enough space to keep raising rates at a fast pace. 

10-year Treasury yields flirted with 15-year highs, while the dollar index hovered near a 20-year peak on Friday. The two have by far been the biggest weights on bullion prices this year. 

Gold tumbled from highs hit during the onset of the Russia-Ukraine conflict, as a series of interest rate hikes by the Fed saw investors seek better yields in the dollar and sovereign debt. 

With the Fed set to keep tightening policy, pressure on gold is widely expected to continue for the remainder of the year.

Among industrial metals, copper prices traded flat on Friday, and were headed for a weekly loss of over 3%. 

Losses this week, triggered by more fears of weakening demand in China, largely offset any gains made on the prospect of tightening supply.

Copper marked strong gains last week as a strike in Escondida, the world’s largest copper mine, pointed to tighter supply for the rest of the year.

But fears of a global economic recession severely dented the demand outlook for the red metal. 

Gold, Copper Head for Sharp Weekly Losses as Fed Rate Risks Increase
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (4)
M Sajeel Bhatti
M Sajeel Bhatti Sep 17, 2022 2:32AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
bearish bearish every where
M Sajeel Bhatti
M Sajeel Bhatti Sep 17, 2022 2:32AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
bearish bearish every where 🤧🤧🤢
Gonzalo Ribeiro
Gonzalo Ribeiro Sep 16, 2022 7:42AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Good. buy the dip
Nehal Kusumgar
Nehal Kusumgar Sep 16, 2022 7:42AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
gold buy jaisa lag raha hai
Ricky Singh
Ricky Singh Sep 15, 2022 10:26PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Feds can skkkk my pole …
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email