gulfgoldrate-blog

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Gold faces weekly decline on signs of growth picking up

Gold steadied on Friday as an escalation in U.S.-China tensions underpinned bullion’s safe-haven appeal, although positive economic data and easing lockdowns in some countries set up the precious metal for a weekly drop.

Spot gold was trading at $1,727.39 per ounce by 0248 GMT, having dropped 1.4% on Thursday. U.S. gold futures rose 0.3% to $1,726.50.

Bullion had rallied to its highest since October 2012 on Monday, but has since lost ground and is now heading for a 0.8% weekly decline.

“The fundamentals are still supportive for gold. But, there was a slight improvement in the manufacturing activity in Europe and the U.S., the PMI data last night was slightly better,” said Avtar Sandu, a senior commodities manager at Phillip Futures.

The euro zone economy’s contraction eased in May, the Purchasing Manager Index (PMI) survey showed. Germany’s private sector recession also improved on loosening of lockdown curbs that were put in place to prevent the spread of the coronavirus.

However, U.S.-China frictions dampened risk appetite, underpinning bullion and offsetting pressure on the metal’s prices from the slightly better data.

Asian shares fell after Beijing’s plan to impose a new national security legislation on Hong Kong drew a warning from U.S. President Donald Trump.

Gold has held ground above the key $1,700 per ounce level, building impetus to reach its 2011 peak in the coming quarters, Fitch Solutions said in a note.

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Gold dips as dollar holds firm; US jobs data awaited

Gold prices dipped on Thursday as the dollar held firm, while investors awaited key U.S. jobless data amid mounting signs of a recession due to the worsening coronavirus outbreak.

Spot gold fell 0.3% to $1,586.24 per ounce by 0640 GMT, after rising 1.2% on Wednesday. U.S. gold futures rose 0.6% to $1,600.20 per ounce.

The metal “is primarily in a consolidation phase more than anything else and is not likely to move much until U.S. jobs data comes in,” said Avtar Sandu, a senior commodities manager at Phillip Futures, adding that the dollar weighed on the market.

The greenback held onto overnight gains as investors rushed to the security of the world’s most liquid currency.

The metal is taking cues from other markets in the short term, but “fundamentals are still supportive in the long run” amid quantitative easing and lower interest rates, Sandu said.

Factories fell quiet across much of the world in March, with sharp slowdowns in Germany and Japan overshadowing a modest improvement in China.

Gold is considered an attractive investment during times of economic uncertainty, and lower interest rates reduce the opportunity cost of holding the non-yielding bullion.

The World Health Organization’s director-general, Tedros Adhanom Ghebreyesus, said on Wednesday that his agency, the World Bank and the International Monetary Fund backed debt relief to help developing countries cope with the pandemic’s social and economic consequences.

Asian equities fell after a rise in the U.S. coronavirus death toll, while investors braced for a spike in weekly U.S. jobless figures due at 1230 GMT.

The number of Americans filing claims for unemployment benefits likely shot to a record high for a second week in a row as more jurisdictions enforced stay-at-home measures. Investors also awaited U.S. non-farm payroll data due on Friday.

Gold saw mild profit-booking, but prices could spike if U.S. employment data comes weak, said Jigar Trivedi, commodities analyst at Anand Rathi Shares and Stock Brokers in Mumbai.

Holdings in SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, rose 0.18% to 968.75 tonnes on Wednesday, their highest since October 2016.

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Gold rises after Fed rate cut, but pares gains on cash hunt

Gold prices jumped in early trade on Monday after another emergency rate cut by the U.S. Federal Reserve, before paring gains as some investors sold the metal for cash amid a sell-off in equities.

Spot gold was up 0.9% at $1,543.60 per ounce, having risen as much as 2.8% earlier. The metal fell 3% on Friday. U.S. gold futures rose 1.8% to $1,544.20 per ounce.

Prices rose initially due to the surprise Fed rate cut, said CMC Markets analyst Margaret Yang Yan, adding that: “The market is very indecisive and there are divergent opinions. Investors are now dumping everything. They just want cash.”

The Fed slashed rates back to near zero, restarted bond buying and joined with other central banks to help put a floor under a rapidly disintegrating global economy amid the escalating coronavirus pandemic.

The Fed’s rate cuts and restarting of quantitative easing are positives for gold, but “we’re in an unconventional time and theory might not apply in a time of high volatility and divergence”, Yan said.

The dollar fell from a more than two-week high and stock markets plunged after the Fed cut rates for the second time this year to soften the economic blow from the economic shock.

A widespread pandemic causing a global shutdown, emergency rate cuts and falling U.S. dollar should be “nirvana for gold”, Jeffrey Halley, a senior market analyst at OANDA, said in a note.

“Unfortunately, these are not normal times and the usual rules don’t seem to apply anymore. If equities drop further, liquidation of gold long positions seems inevitable,” he said.

Following the Fed’s footsteps, the New Zealand central bank slashed rates to a record low, while European Union finance ministers plan to agree on a coordinated economic response.

Among other precious metals, palladium fell 3.2% to $1,748.63 per ounce, having fallen more than 5% earlier in the session, while platinum slipped 0.4% to $758.50. Silver gained 0.4% to $14.74 per ounce.

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Gold rises after Fed rate cut, but pares gains on cash hunt

Gold prices jumped in early trade on Monday after another emergency rate cut by the U.S. Federal Reserve, before paring gains as some investors sold the metal for cash amid a sell-off in equities.

Spot gold was up 0.9% at $1,543.60 per ounce, having risen as much as 2.8% earlier. The metal fell 3% on Friday. U.S. gold futures rose 1.8% to $1,544.20 per ounce.

Prices rose initially due to the surprise Fed rate cut, said CMC Markets analyst Margaret Yang Yan, adding that: “The market is very indecisive and there are divergent opinions. Investors are now dumping everything. They just want cash.”

The Fed slashed rates back to near zero, restarted bond buying and joined with other central banks to help put a floor under a rapidly disintegrating global economy amid the escalating coronavirus pandemic.

The Fed’s rate cuts and restarting of quantitative easing are positives for gold, but “we’re in an unconventional time and theory might not apply in a time of high volatility and divergence”, Yan said.

The dollar fell from a more than two-week high and stock markets plunged after the Fed cut rates for the second time this year to soften the economic blow from the economic shock.

A widespread pandemic causing a global shutdown, emergency rate cuts and falling U.S. dollar should be “nirvana for gold”, Jeffrey Halley, a senior market analyst at OANDA, said in a note.

“Unfortunately, these are not normal times and the usual rules don’t seem to apply anymore. If equities drop further, liquidation of gold long positions seems inevitable,” he said.

Following the Fed’s footsteps, the New Zealand central bank slashed rates to a record low, while European Union finance ministers plan to agree on a coordinated economic response.

Among other precious metals, palladium fell 3.2% to $1,748.63 per ounce, having fallen more than 5% earlier in the session, while platinum slipped 0.4% to $758.50. Silver gained 0.4% to $14.74 per ounce.

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Gold inches up on virus concerns; set for worst week since early Nov

Gold prices edged higher on Friday as fears over a rapidly spreading coronavirus outbreak and its economic impact fueled safe-haven buying.

However, China’s move to cut tariffs on some U.S. imports that sent global stock markets higher in the previous session weighed on bullion prices.

Spot gold was up 0.1% to $1,568.76 per ounce by 0052 GMT. The metal has fallen 1.3% so far this week, heading for its worst week since Nov. 8. U.S. gold futures were flat at $1,570.70.

The death toll from the coronavirus outbreak in mainland China reached 636 by the end of Thursday, up 73 from the previous day, the National Health Commission said.

Asian shares eased as investors remained jittery about the widespread virus outbreak.

Beijing said it would lower extra levies imposed last year on 1,717 U.S. products, weeks after the signing of a Phase 1 trade deal that brought a truce to a bruising tariff dispute between the world’s two largest economies.

The dollar was on track for its best weekly gain since early November, amid upbeat economic indicators ahead of the U.S. non-farm payrolls data.

U.S. weekly jobless claims hit a nine-month low as the number of Americans filing for unemployment benefits dropped to 202,000 last week, while productivity rebounded in the fourth quarter.

U.S. Federal Reserve Vice Chair Randal Quarles said policymakers should consider changes that would make it easier for banks to treat Treasury holdings as similar to reserves held with the cen

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Gold dips as dollar rises; palladium falls back from near $2,000

Gold dipped on Wednesday, weighed down by a firmer dollar which found support from mounting expectations the U.S. Federal Reserve will not cut interest rates soon, while palladium retreated from record highs.

Spot gold dipped 0.1% to $1,474.91 per ounce. U.S. gold futures also inched down 0.1% to settle at $1,478.70.

“The strength of the dollar is weighing on gold, coupled with the fact that the trade deal has removed the urge to get into safe havens like gold or yen,” said Edward Meir, analyst at ED&F Man Capital Markets. “We are kind of watching the paint dry… Big and complex issues are deferred and even the Phase 1 deal is not completely nailed down yet.”

Data on Tuesday showed U.S. manufacturing output rebounded more than expected in November, making it less likely that the Fed would cut interest rates soon. Gold is sensitive to rising interest rates, which lift the opportunity cost of holding it, and boost the dollar, in which the metal is priced.

The U.S. currency against a basket of others held gains at 97.41. Due to a lack of follow-through on the upside in gold, investors had started modestly selling the metal, said Afshin Nabavi, senior vice president at precious metals trader MKS SA, adding a break of the $1,465-$1,495 range could attract fresh interest.

Gold, on track for its biggest annual gain since 2010, is supported on the back of recessionary fears and as major central banks around the world resort to monetary easing. The U.S. House of Representatives is due to vote later in the day on whether to impeach President Donald Trump.

Further support for bullion came from fresh fears of a no-deal Brexit, analysts said. On Tuesday, Britain set a hard deadline of December 2020 to reach a new trade deal with the European Union, reviving fears of a chaotic exit from the bloc.

Palladium retreated from a near $2,000 record peak hit on Tuesday, falling 1.5% to $1,925.48.

“The (palladium) market is blowing off froth and is likely to mark time towards year-end, but tightness in supply is unlikely to be mitigated in the near future,” INTL FCStone analyst Rhona O’Connell said in a note.

Among other precious metals, platinum rose 0.7% to $933.74 an ounce, and silver fell 0.1% to $16.99.

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Gold little changed on trade caution, markets eye Fed meet

Gold was steady on Monday as investors await cues from the U.S. Federal Reserve on interest rates later this week, while trying to size up the chances of a new round of U.S. tariffs on Chinese goods.

Spot gold was flat at $1,460 per ounce by 0500 GMT.

U.S. gold futures was flat at $1,464.50.

The U.S. Fed will meet on Dec.10-12 for an interest rate decision and investors were likely to focus on the outlook for next year and beyond.

A strong U.S. jobs data last week has renewed bets that the Federal Reserve would stand pat on interest rates. Lower interest rates reduce the opportunity cost of holding non-yielding bullion.

Meanwhile, the Dec. 15 deadline is still in place for a new round of U.S. tariffs on about $156 billion worth of Chinese imports, White House economic adviser Larry Kudlow said on Friday.

“Markets are waiting to size up what happens, they’re waiting both for the U.S. Federal Reserve meeting and some sort of last minute deal (between U.S.-China),” said Ilya Spivak, a senior currency strategist at DailyFx.

“We’ve seen that from this administration in White House, this kind of brinkmanship where they may decide to cancel tariffs at the last second by a tweet late night on Dec. 14.”

“Prices are likely to remain in pressure with better-than-expected data we saw late last week,” ANZ analyst Daniel Hynes said.

Speculators upped their bullish positions in COMEX gold in the week to Dec. 3, data showed.

However, holdings of the world’s largest gold-backed exchange-traded fund SPDR Gold Trust, fell 0.26% to their lowest since Sept. 19 on Friday.

Palladium shed 0.1% to $1,876.78 per ounce, having hit a record peak at $1,880.65 in the previous session.

Silver rose 0.1% to $16.57 per ounce, after touching its lowest since early August in the last session, while platinum eased 0.4% to $892.30.

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Gold hits near 1-month high as trade drag prompts safety buying

Gold prices rose to a near one-month high on Wednesday, as U.S. President Donald Trump’s comments dampened hopes for a quick preliminary trade agreement with China, driving support for safe-haven assets.

Spot gold (gold rate price)gained 0.3% to $1,482.02 per ounce by 0707 GMT, its highest since Nov. 7, while U.S. gold futures were up 0.2% to $1,487.90.

President Trump on Tuesday said a deal with China might have to wait until after the U.S. presidential election in November 2020. 

Trump’s comments come shortly after he slapped tariffs on U.S. steel and aluminium imports from Brazil and Argentina.

“Gold(gold price) has benefited from strong safe-haven flows, equities tanked and the dollar fell as well. And, that’s the reason why gold has risen overnight,” said Jeffrey Halley, senior market analyst, Asia Pacific at OANDA.

“President Trump saying a trade deal may not happen until after the U.S. election next year and the passage of the second China bill in the House of Representatives will add to the extreme trade worries because the fear is – China might just walk away from any trade negotiations.” 

The U.S. House of Representatives approved a bill that would require Washington to toughen its response to China’s crackdown on its Uighur Muslim minority, which investors fear can possibly deteriorate trade ties.

Dimming hopes of a deal further, U.S. Commerce Secretary Wilbur Ross rejected any deadlines on a trade deal with Beijing and launched a fresh attack on telecoms giant Huawei.

Trump’s remarks prompted investors to reduce their exposure to risk, with Asian shares extending their losses, while the U.S. dollar hovered close to a one-month low, making gold more attractive.

Gold( gold price ), which is seen as safe investment during times of political and economic stress, has gained about 15% so far this year, mainly due to the 17-month long trade dispute and its impact on the global economy.

“Bull-run in gold is expected to continue and it can touch the $1,500 level this week, and $1,520 in the week going forward,” said Kunal Shah, head of research at Nirmal Bang Commodities in Mumbai, India.

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Gold tepid on trade respite, set for biggest weekly fall in 2.5 years

Gold prices were tepid on Friday, after dropping up to 2% in the previous session, as hopes of headway in the U.S.-China trade deal boosted risk-on sentiment, denting the bullion’s appeal.

World stocks rallied and the dollar index gained after officials on Thursday said that China and the United States have agreed to roll back tariffs on each others’ goods as part of the first phase of a trade deal.

Spot gold (bullion market)was trading at 1,468.51 per ounce, as of 0335 GMT, poised for its biggest weekly drop since May 2017. In the previous session, prices dropped to their lowest in more than a month.

U.S. gold futures(gold price) were up 0.2% at $1,469.80 per ounce.

“The market is coming to terms with the move that marked the breakout of the fairly long-standing range and finally gold seems to have made a move lower,” said Ilya Spivak, a senior currency strategist at DailyFx.

However, the ‘phase one’ trade deal faced fierce internal opposition at the White House over concerns whether rolling back tariffs will give away U.S. leverage in the negotiations.

“The market has a lot of questions about this, and that’s why … even though there was a selloff, gold(bullion price) did not break below the lows in August,” Spivak said.

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हॉलमार्किंग के बगैर नहीं बिकेंगे सोने के गहने

सोने के गहने खरीदने वालों के लिए खुशखबरी है. सरकार जल्द ही सोने के गहनों पर हॉलमार्किंग अनिवार्य करने जा रही है. मौजूदा समय में, हॉलमार्किंग स्वैच्छिक है यानी ज्वेलर्स की इच्छा पर निर्भर करता है कि वह हॉलमार्किंग ज्वेलरी बेचे या नहीं. इसके अलावा कुछ ज्वेलर्स ग्राहकों की मांग पर हॉलमार्किंग ज्वेलरी बेचते हैं.

केन्द्र में उपभोक्ता मामलों के मंत्री राम विलास पासवान दिल्ली में 28 फरवरी को बुलियन इंडस्ट्री के साथ इस मुद्दे पर चर्चा करेंगे. भारतीय मानक ब्यूरो ने एक ड्राफ्ट क्वालिटी कंट्रोल आर्डर – हॉलमार्किंग ऑफ गोल्ड ज्वेलरी एंड गोल्ड आर्टिफैक्ट्स ऑर्डर, 2018 को अपनी वेब साइट पर डाला है. इसमें इससे जुड़े सभी पक्षों से टिप्पणियां मांगी गई हैं. उपभोक्ता मामलों के मंत्रालय के एक संयुक्त सचिव के साथ BIS (ब्यूरो ऑफ इंडियन स्टैंडर्ड) इन गहनों को प्रमाणित करने वाली अथॉरिटी होगी.

28 फरवरी को होने वाली चर्चा में सरकार के आमंत्रण पर जाने वाले इंडियन बुलियन एवं ज्वेलर्स एसोसिएशन (IBJA)के नेशनल सेक्रेटरी सुरेंद्र मेहता ने कहा कि उन्हें उम्मीद है कि हॉलमार्किंग अनिवार्य होने से पहले सरकार 14, 18 और 22 कैरेट के अलावा भी अन्य कैरेट के सोने के आभूषणों को पिघलाने और बेचने का समय देगी ताकि ज्वेलर्स को अपना पुराना स्टॉक निकालने में दिक्कतें न हो. बुलिनय इंडस्ट्री से जुड़े कई लोगों का मानना है कि अप्रैल से अनिवार्य हॉलमार्किंग शुरू हो जाएगी.