Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Gold Up, but Near One-Month Low, Over Hawkish Powell Comments

Published 11/30/2021, 10:12 PM
Updated 11/30/2021, 10:18 PM
© Reuters.

© Reuters.

By Gina Lee

Investing.com – Gold was up on Wednesday morning in Asia, but remained near a one-month low. Investors continued to digest signs from U.S. Federal Reserve Chairman Jerome Powell that the central bank would discuss wrapping up asset tapering quicker than planned.

Gold futures were up 0.23% to $1,780.55 by 10:11 PM ET (3:11 AM GMT). The yellow metal was only $2 short of Tuesday's last recorded price, which was the lowest since Nov. 4, 2021.

Powell said the Fed will discuss whether to end asset tapering a few months earlier than scheduled in its meeting later in the month. He also veered away from describing high inflation as “transitory”.

Powell's comments also gave the dollar, which normally moves inversely to gold, a boost. The dollar inched down on Wednesday.

Fed officials are unhappy with inflation above the central bank's 2% target and bringing actual inflation down will be important to keeping expectations anchored near the Fed's goal, according to Fed Vice Chairman Richard Clarida.

Across the Atlantic, Bank of England Monetary Policy Committee member Catherine Mann said on Tuesday that the new omicron COVID-19 variant could hurt consumer confidence, in turn weakening economic recovery.

The World Health Organization warned against imposing blanket travel bans, which have already been implemented by several countries. Research into the efficacy of current vaccines against the new variant also continues.

U.S. data, including the Institute of Supply Management manufacturing PMI and the Fed Beige Book, will be released later in the day. The U.S. job report, including non-farm payrolls, will follow on Friday.

In Asia Pacific, China’s Caixin manufacturing purchasing managers index (PMI) for November, released earlier in the day, was at 49.9.

In other precious metals, silver was down 0.3%, platinum rose 0.7% and palladium jumped 1%.

Latest comments

so thank Sir.
Just keep selling so I can keep buying, stagflation is on its way 😀
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.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.