Breaking News
Get 40% Off 0
Is NVDA a 🟢 buy or 🔴 sell? Unlock Now

Gold steadies ahead of China Q3 GDP data, more Fed cues

Published Oct 17, 2023 12:44AM ET Updated Oct 17, 2023 03:48PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.
 
XAU/USD
+0.55%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
Gold
+0.74%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
DXY
0.01%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

Investing.com-- Gold prices steadied after early declines on Tuesday as markets hunkered down before several upcoming cues on the U.S. economy, as well as a series of addresses from Federal Reserve officials.

While the yellow metal saw strong gains after the onset of the Israel-Hamas war pushed investors into safe havens, it reversed course this week after a stronger-than-expected U.S. inflation reading pushed up concerns over higher interest rates.

A lack of an immediate escalation in the war also dented any more near-term safe haven demand, while the dollar found its footing near 11-month highs.

Gold’s most-active futures contract on New York’s Comex, December, settled up $1.40, or 0.07%, at $1,935.70 an ounce, after an intraday drop to 1,924.85.

The spot price of gold, more closely watched by some traders than futures, was at $1,924.50.65 by 15:33 ET (19:33 GMT), up $4.28, or 0.2%, on the day. The session low for spot gold was $1,912.44.

Fed comments on tap 

U.S. consumer inflation read higher-than-expected for September, data showed last week, ramping up concerns that the Fed will remain hawkish for longer, in order to bring down sticky inflation.

A string of Fed officials are also set to speak this week, most notably Fed Chair Jerome Powell on Thursday. Powell’s comments will be closely watched in the wake of the strong inflation readings, given that the Fed Chair had signaled higher for longer rates at the Fed’s previous meeting.

Higher interest rates bode poorly for gold, given that they increase the opportunity cost of investing in the yellow metal. This trade battered gold through the past year, and is expected to limit any major gains until the Fed starts cutting interest rates. 

Copper slides, China GDP in focus 

Among industrial metals, copper prices reversed recent gains on Tuesday, as markets hunkered down before key Chinese economic readings this week.

Copper futures closed New York trading down 0.1% at $3.5820 a pound. 

Third-quarter Chinese gross domestic product data, due on Wednesday, is expected to show further deterioration in growth in the world’s largest copper importer.

Industrial production data for September- also due on Wednesday- is expected to show continued weakness in the sector, which accounts for a bulk of Chinese copper demand.

Still, copper bulls took some encouragement from quarterly production figures from major miner Rio Tinto Ltd (ASX:RIO). The miner clocked slightly stronger iron ore and copper shipments on steady demand in China.

(Barani Krishnan contributed to this article)

Gold steadies ahead of China Q3 GDP data, more Fed cues
 

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.
  • Any comment you publish, together with your investing.com profile, will be public on investing.com and may be indexed and available through third party search engines, such as Google.

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 (5)
Warm Camp
Warm Camp Oct 17, 2023 5:37PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Rio is primarily an iron ore company. Good numbers from its copper division are pleasant for the company shareholders, but they cannot move copper market, obviously.
Lars He
Lars He Oct 17, 2023 10:23AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
This article didn't age well
Mukesh S Soni
Mukesh S Soni Oct 17, 2023 7:54AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Gold km bek
Mukesh S Soni
Mukesh S Soni Oct 17, 2023 7:54AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Gold km bek
William Bailey
William Bailey Oct 17, 2023 2:54AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Gold is just a crummy rock
 
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