Gold prices eased on Thursday as the U.S. dollar hovered near multi-week highs, while some investors locked-in profits ahead of major central bank meetings this month.
The European Central Bank is meeting later in the day, followed by the U.S. Federal Reserve next Tuesday-Wednesday.
Spot gold was down 0.2% at $1,422.80 per ounce, as of 0303 GMT. U.S. gold futures were down 0.1% at $1,422.90.
"From last three days, gold prices have been range-bound. Some money managers are starting to shut some positions to prepare for the Fed meeting, and also the ECB decision coming out today," said Benjamin Lu, analyst, Phillip Futures.
"Before the key events happen, people like to take in some profits because nobody knows what is going to happen. Some might capitalise on volatility to push prices slightly lower and buyback after the dip. Overall, on the long-term we are still bullish on gold," Lu added.
Weighing down gold prices, the U.S. dollar edged near a two-month high against a basket of major currencies on Thursday. A stronger dollar makes gold costlier for holders of other currencies.
Investor focus shifted to the ECB meeting due later in the day and a widely expected interest rate cut from the Fed next week, which are expected to dictate the tempo for currencies and bond yields in coming months.
Lower U.S. interest rates put pressure on the dollar and bond yields, increasing the appeal of non-yielding bullion.
For Quick Trial – 62329-95233 |
or mail us here: info@thegrssolution.com
or visit www.thegrssolution.com
✆ -0731-4974186
0 Comments