Sign up to create alerts for Instruments,
Economic Events and content by followed authors
Free Sign Up Already have an account? Sign In
Quotes
All Instrument Types
- All Instrument Types
- Indices
- Equities
- ETFs
- Funds
- Commodities
- Currencies
- Crypto
- Bonds
- Certificates
Please try another search
🚨 Our Pro Data Reveals the True Winner of Earnings Season Access Data
Gold Prices Climb From 1-Week Lows in Risk-Off Trade
© Reuters. Gold comes off 1-week lows in risk-off trade
Investing.com - Gold prices moved higher on Tuesday, pulling away from one-week lows as rising U.S. bond yields and concerns over the outlook for global growth soured market sentiment.
December gold futures were up $3.20 or 0.27% to $1,191.8 by 10:30 AM ET (14:31 GMT) on the Comex division of the New York Mercantile Exchange. Prices settled at $1,184.40 on Monday, the lowest close since Sept. 28.
Gold’s gains came as equity markets remained under pressure from the move higher in U.S. Treasury yields, which sent the yield on 10-year Treasury notes to a fresh seven-year peak earlier Tuesday.
The sell-off in Treasuries has been spurred by expectations for a potentially faster pace of rate hikes from the Federal Reserve.
Expectations for rising interest rates look likely to remain a headwind for gold prices. Interest rate increases and higher U.S. bond yields dampen appeal for gold, which offers no yield. They also tend to boost the dollar.
Risk aversion also mounted after the International Monetary Fund cut its global growth forecast on Tuesday, warning that trade conflicts are starting to have a serious impact on the global economy.
The IMF downgraded its outlook for the U.S., China, the euro zone and the UK, saying it now expects the global economy to expand by just 3.7% in 2018 and 2019, down from 3.9% before.
Gold’s gains came in spite of its typically inverse relationship to the U.S. dollar.
The U.S. dollar index, which measures the greenback’s strength against a basket of six major currencies, was last at 95.50, not far from the six-week high of 95.78 reached late last week.
A stronger dollar makes dollar denominated assets, like gold, more expensive to potential buyers holding other currencies.
Elsewhere in metals trading, December silver advanced 0.55% to $14.40 a troy ounce, while January platinum was trading at $826.00, up 0.95% for the day.
Among base metals, December copper added on 0.8% to trade at $2.788.
Related Articles
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
Add a Comment
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.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.