Gold dips, head­ing for weekly loss

Kuwait Times - - BUSINESS -

Gold eased yes­ter­day ahead of US jobs data ex­pected to boost con­fi­dence in the world’s largest econ­omy and strengthen the case for the Fed­eral Re­serve to raise in­ter­est rates af­ter buoy­ant fac­tory data the pre­vi­ous day. Bul­lion is highly sen­si­tive to ris­ing in­ter­est rates, which make the nonyield­ing as­set less at­trac­tive while boost­ing the dol­lar, in which it is priced.

Spot gold edged 0.1 per­cent lower to $1,169.66 an ounce by 1138 GMT. The me­tal fell to its low­est since Feb. 5 at $1,160.38 in the pre­vi­ous ses­sion and is on track for its fourth straight week of losses. US gold fu­tures gained 0.2 per­cent to $1,171.60. Cap­i­tal Eco­nomics com­modi­ties econ­o­mist Si­mona Gam­barini said that a De­cem­ber rate rise has al­ready been fac­tored in to gold prices and that US pres­i­dent-elect Don­ald Trump is up­per­most in in­vestors’ minds.

“Most in­vestors are now look­ing at 2017 to see what’s go­ing to hap­pen with Trump, what poli­cies he will im­ple­ment and the in­fla­tion­ary im­pact of those poli­cies.” The dol­lar in­dex, which mea­sures the green­back against a bas­ket of ma­jor cur­ren­cies, slipped by about 0.1 per­cent. — Reuters

Newspapers in English

Newspapers from Kuwait

© PressReader. All rights reserved.