Gold was set for a third straight weekly drop on Friday, weighed down by signals from Federal Reserve officials that the central bank could end its pandemic-era asset purchases and raise interest rates faster than expected to combat surging inflation.
FUNDAMENTALS
* Spot gold rose 0.1% to $1,771.04 per ounce by 0056 GMT after hitting its lowest in nearly a month on Thursday. The metal has declined 1.3% so far in the week.
* U.S. gold futures gained 0.5% to $1,770.90.
* U.S. Federal Reserve Bank of Atlanta President Raphael Bostic told the Reuters Next conference on Thursday it would be appropriate to end the central bank’s bond-buying programme by the end of March to allow the Fed the option to raise rates to deal with inflation.
* Reduced stimulus and interest rate hikes tend to push government bond yields up, raising the opportunity cost of non-interest bearing gold.
* U.S. Treasury Secretary Janet Yellen told Reuters Next it was the Fed’s job to ensure that the current run of high inflation does not evolve into a damaging and long-lasting “wage-price spiral”.
* Euro zone inflation remains temporary, two key European Central Bank policymakers argued on Thursday, even as U.S. officials made the case this week for abandoning the use of “transitory” to describe current price pressures.
* The number of Americans filing new claims for unemployment benefits increased less than expected last week, pointing to tightening labour market conditions, while layoffs tumbled to the lowest level in 28-1/2 years in November.
* SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, said its holdings fell about 0.5% to 986.17 tonnes on Thursday from Wednesday.
* Spot silver rose 0.1% to $22.40 an ounce. Platinum fell 0.3% to $934.99, while palladium increased 0.1% to $1,784.09.
DATA/EVENTS (GMT) 0900 EU Markit Serv, Comp Final PMIs Nov 1330 US Non-Farm Payrolls Nov 1500 US ISM Non-Mfg PMI Nov
Stay connected with us on social media platform for instant update click here to join our Twitter, & Facebook
We are now on Telegram. Click here to join our channel (@TechiUpdate) and stay updated with the latest Technology headlines.
For all the latest Business News Click Here
For the latest news and updates, follow us on Google News.
Denial of responsibility! NewsAzi is an automatic aggregator around the global media. All the content are available free on Internet. We have just arranged it in one platform for educational purpose only. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials on our website, please contact us by email – [email protected]. The content will be deleted within 24 hours.
