Gold Rate Today: Gold, silver flat in morning trade

Cornelia Mascio
Luglio 19, 2018

Spot gold was down 0.2 per cent at $1,224.16 an ounce.

Gold prices are driven by the strength of the US dollar and now, the American currency is standing stronger after the US Federal Reserve Chairman Jerome Powell's US economic outlook reinforced views the central bank is on track to steadily hike interest rates.

After yesterday's brief pause, led by disappointing US housing market data, a fresh wave of US Dollar buying interest emerged on Thursday and was one of the key factors prompting some aggressive selling around dollar-denominated commodities - like gold.

Oil benchmark Brent crude hit a three-month low on Wednesday after a rise in United States crude inventories highlighted increasing global supply and concerns over weak demand.

The yellow metal slipped to its lowest since July previous year at $1,220.41 an ounce earlier in the session.

United States gold futures for August delivery were 0.2 per cent lower at $1,224.30 an ounce.

Meanwhile, another central banker on Tuesday said that with the U.S. economy firing on all cylinders, the Fed should ease away from monetary policy accommodation and move interest rates up far enough to prevent unwanted inflation but not so fast that a recession ensues.

"With the United States dollars on a solid footing, gold prices should stay pressured lower for the foreseeable future as gold has wholly lost its glittering appeal in this enduringly bullish equity and USD environment", said Stephen Innes, APAC trading head, OANDA.

However, Reuters technicals analyst Wang Tao said spot gold has found support at $1,226 per ounce and may hover above this level or bounce towards resistance at $1,237.

Among other precious metals, silver was down 0.8 percent at $15.41 an ounce, after earlier hitting its lowest since last July at $15.33 an ounce.

Platinum was 0.4 percent lower at $810.30 an ounce. Palladium dipped 0.3pc to $908 per ounce after hitting $902.97, the weakest since April 9.

Altre relazioniGrafFiotech

Discuti questo articolo

Segui i nostri GIORNALE