Key Points
Comex December gold future slid 1.55% through the week as the contract finished around $1916.50, and spot gold was at $1889 an ounce, at its weakest level in five months, pushed down by strengthening USD and surging UST yields amid growing bets for higher for longer interest rates from US Fed from the traders..
Last week's losses came after a spate of strong economic data caused investors to cut down expectations of rate cuts which drove up government bond yields as there is nearly 91% chance of the Fed holding rates at current levels at its September meeting..
The inflation at the factory level in July firmed at the fastest pace since January causing concern over the stickiness of inflation, Consumer spending rose as retail sales increased by 0.73% in July, The latest residential data for July showed that housing permits increased by 0.07%, housing starts increased by 3.86%, and housing completions decreased by -11.82%,.
The coming weeks would be important as the Chinese central bank is expected to throw some surprises, which should see some recovery in Gold amid broader risk-off sentiments..
From the US the Federal Reserves annual Jackson Hole symposium returns as the key event this week as Chair Powell kicks off the event with an economic outlook speech on Friday..
You might be interested in
Gold gains on weaker yields; US inflation report in focus
18, Dec, 23By Brijesh Patel (Reuters) - Gold edged higher on Monday, supported by a weakness in bond yields as investors await U.S. inflation data due later this week for more clarity on the Federal Reserve's
Asia stocks sluggish, plenty of event risk ahead
15, Jan, 24By Wayne Cole SYDNEY (Reuters) - Asian shares got off to a sluggish start on Monday ahead of a week packed with geopolitical risk, Chinese economic data and earnings reports from major U.S. banks. A
Gold ended April with a small uptick; Is a reversal coming up next?
01, May, 23While gold almost touched fresh highs in the month of April, it ended the monthly series near the price it started. April had started with gold at $1,990 an ounce, then gold moved as high as $2,048.40, and on Friday, it closed at $1,989.
Dollar steady near 6-weeek highs ahead of US GDP; eyes on ECB meeting
25, Jan, 24By Ankur Banerjee SINGAPORE (Reuters) - The dollar was broadly steady near a six-week high on Thursday, as investors await GDP and other data this week to gauge where U.S. rates are headed, while the
Asia shares flat, dollar restrained by Japan caution
25, Mar, 24By Wayne Cole SYDNEY (Reuters) - Asian shares dithered on Monday as investors worried U.S. inflation data this week could derail the outlook for lower interest rates, while the risk of currency
High bond yields not a proxy for central bank rate action
11, Nov, 23What has been particularly hurting the market is the Feds quantitative tightening, which has resulted in the central bank not replenishing bonds in its portfolio that have matured. The market had caught up with the Feds rate actions (an increase of 500 basis points in 19 months) and balance sheet reduction. Not just the markets, even several Fed officials had alluded to the markets view that the bond market was doing the central banks job.
Gold might trade with a bearish bias next week as short-term macro headwinds persist
30, Jul, 23Gold prices started the week negatively as mixed US data and weak European economic data increased the strength of the greenback. Although the dollar index started to ease on Tuesday, it recovered during the first half of the week due to positive Chinese sentiment and an upcoming FOMC meeting.
US Fed Policy: FOMC votes unanimously to keep key rates unchanged at 5.25-5.5% for second straight meeting
02, Nov, 23US Federal Reserve Policy: Rate-setting FOMC led by Fed Chair Powell voted unanimously to keep the key interest rates unchanged at 5.25-5.5 per cent for the second straight meeting as US inflation still remains below the 2-per cent target
Asia shares turn mixed, gold tops $2,100 an ounce
04, Dec, 23By Wayne Cole SYDNEY (Reuters) -Asian shares were mixed on Monday while gold spiked to all-time peaks above $2,100 at the start of a busy week for economic data that will test market wagers for early
Japan stocks keep surging, central banks seen on hold
22, Jan, 24By Wayne Cole SYDNEY (Reuters) -Asian shares tracked Tokyo higher on Monday as AI hype helped the tech sector ahead of a week brimming with central bank meetings, major economic data and corporate