Please try another search
Investing.com - Gold prices rose to fresh two-week highs on Thursday as the dollar reversed early gains and U.S. stocks opened lower as a spike U.S. bond yields weighed, bolstering safe haven demand for the precious metal.
December gold futures were up $4.90 or 0.4% to $1,207.70 by 09:59 AM ET (13:59 GMT) on the Comex division of the New York Mercantile Exchange, the highest since Sept. 24.
The dollar was broadly lower, with the U.S. dollar index, which measures the greenback’s strength against a basket of six major currencies, down 0.32% to 95.36 after hitting a one-and-a-half month high of 95.78 earlier.
A weaker dollar can make dollar denominated assets, like gold, less expensive to potential buyers holding other currencies.
Safe haven demand for gold was underpinned after a lower open for U.S. stocks amid a spike in Treasury yields on robust U.S. economic data and indications from the Federal Reserve that interest rates will continue to rise.
Fed Chairman Jerome Powell said Wednesday that the U.S. central bank may raise interest rates above an estimated "neutral" setting as the U.S. economy continues to grow.
The hawkish sounding remarks bolstered expectations for the Fed to hike interest rates again in December and beyond.
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.
While gold is on track for a weekly gain, the precious metal had ended the third quarter down 4.6% after falling 0.9% in September as rising U.S. interest rates and the dollar’s march higher in 2018 weighed.
Elsewhere in metals trading, December silver advanced 0.55% to $14.74 a troy ounce, while January platinum was trading at $833.00, off 0.35% for the day.
Among base metals, December copper added on 0.25% to trade at $2.838.
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.
I feel that this comment is:
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.