gold futures news

gold futures news

October 16th, 2018

Gold futures on Tuesday looked likely to extend a rally that has returned prices to July levels, with a generally upbeat tone in place even with volatile stock markets quieted.

Fresh weakness for a leading dollar index helped gold hold higher ground as December gold GCZ8, +0.33% rose $2.90, or 0.2%, to $1,233 an ounce. A close at this level would mark the highest since July 26, according to FactSet data.

Meanwhile, December SIZ8, +0.53% silver rose 6 cents, or 0.5%, to $14.795 an ounce.

Stocks indicated a stronger start a day after a tech-driven retreat. Stocks have been highly volatile amid mounting concerns over rising Treasury rates TMUBMUSD10Y, +0.36% stirring interest in haven gold.

A rapid rise in rates also has coincided with weakness in the U.S. dollar, which has helped to remove a headwind for the precious commodity. Gold tends to gain when the dollar is weaker because the assets become relatively more attractive to buyers using other monetary units. One popular measure of the buck, the ICE U.S. Dollar Index DXY, -0.06% was down 0.1% at 94.96 early Tuesday. The dollar is just in the red for the month of October so far.

Recent dollar weakness has defied the stronger dollar trend in the year so far, a rise fueled by monetary policy tightening at the Federal Reserve and leaving the popular gauge of the U.S. currency up 3.1% so far in 2018, according to FactSet.. The Fed has hiked interest rates three times this year and may do so a fourth time before year-end, which could provide some resistance to gold bulls because rising rates are likely to juice the dollar and make risk-free government bonds a more attractive investment when compared against bullion.

Gold is up 2.6% so far for October, trimming its year-to-date drop to close to 7%.

Analyst Mark Hulbert, writing for MarketWatch, is skeptical that the swivel to upbeat trading in gold has legs.

“This rally began when the mood among gold market-timers was already surprisingly upbeat. According to contrarian analysis, this means that the current rally is likely to quickly fizzle,” he wrote.

- By Myra P. Saefong at MarketWatch.

July 25th, 2012

Commodity Brokers – The U.S. Commodity Futures Trading Commission (CFTC) today issued an order filing and settling charges against Interactive Brokers LLC (Interactive), a futures commission merchant based in Greenwich, Conn., for filing inaccurate large trader reports and failing to diligently supervise the handling and reporting of accounts.

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August 1st, 2012

Gold futures declined after Federal Reserve Chairman Ben S. Bernanke held off on increasing stimulus measures, lowering demand for the precious metal.

The Federal Open Market Committee “will closely monitor incoming information on economic and financial developments and will provide additional accommodation as needed to promote a stronger economic recovery and sustained improvement in labor market conditions in a context of price stability,” it said today at the conclusion of a two-day meeting. Earlier, a report by ADP Employer Services showed companies in the U.S. added more workers than projected in July.

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July 26th, 2012

Gold futures rose for the second day after the European Central Bank president said policy makers will do whatever is needed to preserve the euro and amid increasing expectations of further stimulus measures in the U.S.

“To the extent that the size of these sovereign premia hamper the functioning of the monetary policy transmission channel, they come within our mandate,” ECB President Mario Draghi said today. Orders for U.S. durable goods excluding the transportation category unexpectedly dropped 1.1 percent in June, the most in five months, a Commerce Department report showed, boosting speculation that the Federal Reserve will step up measures to stabilize growth.

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July 5th, 2012

Gold futures fell the most in a week on bets that the Federal Reserve may refrain from more stimulus measures, while the dollar’s rebound eroded the appeal of the metal as an alternative investment.

Data from ADP Employer Services showed today that U.S. companies added more workers than forecast in June, which may ease concern that the labor market is deteriorating. The euro tumbled to a four-week low against the dollar after the European Central Bank cut its benchmark interest rate to a record.

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June 29th, 2012

Gold Futures – Gold traders are bullish for a sixth week on speculation that Europe’s debt crisis will boost demand from investors seeking to protect their wealth and drive prices higher after the biggest quarterly slump in eight years.

Sixteen analysts surveyed by Bloomberg said they expect a rally next week and 10 were bearish. Another five were neutral. Investors added about $1.9 billion to holdings in gold-backed exchange-traded products this month, the most since November, according to data compiled by Bloomberg. Hedge funds and other speculators have increased bets on a rally for four consecutive weeks, U.S. Commodity Futures Trading Commission data show.

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June 27th, 2012

Gold Futures – Gold is set to decline for a second day in New York on concern Europe’s debt crisis will strengthen the dollar and curb demand for the metal as an alternative investment. Palladium dropped.

Borrowing costs jumped at an Italian bill sale today before a two-day European Union summit in Brussels starting tomorrow. The dollar was little changed versus the euro after climbing to a two-week high yesterday. The China Securities Journal said the country may introduce “more proactive” policies to ensure stable growth in the world’s second-largest economy.

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June 19th, 2012

Commodity Investing – Corn futures jumped, capping the biggest two-day increase in 20 months, as hot, dry weather reduced yield potential for crops in the Midwest, the largest U.S. growing region.

Parched conditions in the next three days will increase stress on about a third of the Midwest crop, Commodity Weather Group LLC said in a report.

On the Chicago Board of Trade, corn futures for December delivery surged 5.5 percent to $5.635 a bushel. In two days, the most-active contract surged 11 percent, the most since October 2010.

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November 22nd, 2011

Gold rebounded from the lowest level in almost four weeks in London as debt concerns in the U.S. and Europe spurred demand for the metal as a protection of wealth.

A U.S. Congress budget supercommittee failed to reach agreement on reducing the budget deficit and data today may show European consumer confidence sank to a two-year low, according to a Bloomberg News survey of economists. Holdings in exchange- traded products backed by gold climbed to a record yesterday as prices dropped 2.7 percent, the most in eight weeks.

“We’re seeing a bit of physical buying” after yesterday’s drop, Afshin Nabavi, a senior vice president at bullion refiner MKS Finance SA in Geneva, said today by phone. “I remain positive on gold because of all the mess going on in the world.”

Immediate-delivery gold gained $17.43, or 1 percent, to $1,694.75 an ounce by 11 a.m. in London. Prices yesterday fell to $1,667.03, the lowest since Oct. 25. Gold for December delivery was up 1 percent at $1,695.40 on the Comex in New York.

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November 8th, 2011

Gold futures topped $1,800 an ounce for the first time in almost seven weeks on concern that European leaders will be unable to contain the region’s debt crisis, fueling demand for the precious metal as a haven.

Italian Prime Minister Silvio Berlusconi failed to muster an absolute majority on a routine parliamentary ballot today, fueling more calls for his resignation. Federal Reserve Chairman Ben S. Bernanke signaled more monetary stimulus may be needed to cut unemployment, while the European Central Bank last week unexpectedly lowered interest rates. Gold has rallied more than 11 percent since the end of September.

“The turmoil in Europe has brought the fear trade back to gold,” Lance Roberts, the chief executive officer of Houston- based Streettalk Advisors, said in a telephone interview. “Also, a renewed wave of policy easing by central banks is helping gold.”

Gold futures for December delivery rose 0.5 percent to close at $1,799.20 an ounce at 1:47 p.m. on the Comex in New York, after touching $1,804.40, the highest since Sept. 21. Prices fell to $1,785.70 in after-hours trading.

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