Gold Market
Gold extended its gains for a third straight session on Wednesday, supported by easing fears of a US rate hike and a weaker dollar. Investors now await the Federal Reserve’s policy minutes for further direction.
Gold has climbed 9% from recent lows as investors and central banks rebuild positions. Lower oil prices and softer inflation support the metal, though stalled peace efforts and weak demand could limit gains.
Gold extended its rally above $4,400 as the US dollar hit two-month lows. Weak US jobs and inflation data reduced Fed rate hike bets, while Iranian threats lifted oil and supported safe-haven demand.
Gold rose more than 1% on Monday to trade near $4,422, helped by a softer US dollar and lower Treasury yields after last week's inflation data reduced expectations of aggressive Fed action.
Gold trades near $4,400 after bouncing from a one-week low of $4,300. Weak US retail sales and consumer sentiment undermine the dollar, but geopolitical tensions and inflation fears cap gains.
Major gold miners just reported their second-best quarterly results ever, despite gold falling 14.1% in Q2. Near-record profits and a parallel selloff in gold stocks pushed sector valuations to decade lows.
The LBMA Gold Price auction is a twice-daily benchmark-setting process, distinct from the continuously fluctuating spot price of gold.
Gold prices edged higher in early Asian trading on Monday, supported by a softer dollar and diminished expectations of a US interest rate hike in September.
Gold moved toward $4,400 an ounce after weaker US consumer sentiment and retail sales figures lowered the perceived risk of immediate Federal Reserve interest rate hikes.