NEW YORK/LONDON, Aug 21 (Reuters) – Gold slid 1.4 percent to
its lowest in two months on Thursday, extending losses to a
fifth session, as fears about an early interest rate hike by the
U.S. Federal Reserve sparked a technical sell-off after prices
broke below a key support level.
Bullion was hit hard by follow-through selling after minutes
from the Fed’s July meeting showed on Wednesday policymakers
debated whether interest rates should be raised earlier given a
surprisingly strong job market recovery, traders said.
NEW YORK/LONDON, Aug 20 (Reuters) – Gold prices fell on
Wednesday as the dollar rallied on economic optimism after the
minutes of the Federal Reserve’s latest meeting showed the U.S.
central bank has seen progress in the U.S. labor market.
The Federal Reserve has been surprised by how quickly the
U.S. labor market is healing but does not want to bring forward
a planned rate hike until the recovery looks more convincing,
according to minutes of its last policy meeting in late July.
NEW YORK/LONDON, Aug 18 (Reuters) – Gold fell on Monday as
the threat of an escalation of tensions in Ukraine appeared to
wane for now, and a rally in global equity markets and strength
in the dollar sent bullion prices below $1,300 an ounce.
Russia said all issues related to its humanitarian convoy to
Ukraine had been resolved but said no progress has been made
toward a ceasefire or political solution to the fighting in the
east of the country after talks between Russia, Germany, France
and Ukraine on Sunday.
NEW YORK/LONDON (Reuters) – Gold prices were slightly lower on Friday, paring losses on safe-haven buying as equity markets slid after Ukraine said its forces had engaged a Russian armored column on Ukrainian soil in what appeared to be a major military escalation.
Palladium rose to a fresh 13-year high on supply concerns and some safe-haven demand due to renewed Russia-Ukraine tensions, analysts said.
NEW YORK/LONDON, Aug 15 (Reuters) – Gold prices were
slightly lower on Friday, paring losses on safe-haven buying as
equity markets slid after Ukraine said its forces had engaged a
Russian armored column on Ukrainian soil.
Investors bought bullion and U.S. Treasuries after Ukraine
said its forces had attacked and partly destroyed a Russian
armored column that crossed into Ukrainian territory. Moscow
said its forces had not crossed into Ukraine, and accused Kiev
of trying to sabotage deliveries of aid.
NEW YORK, Aug 14 (Reuters) – Hedge fund Paulson & Co
maintained its stake in the world’s biggest gold-backed
exchange-traded fund, SPDR Gold Trust, in the second
quarter, while Soros Fund Management LLC sharply boosted his
investment in gold mining stocks.
Legendary investor George Soros nearly doubled his ownership
in a U.S. gold mining companies ETF and initiated new stakes in
other gold producers, suggesting the big names in hedge funds
continued to have confidence in the yellow metal.
NEW YORK/LONDON, Aug 14 (Reuters) – Gold prices were little
changed on Thursday as investors shrugged off a
bigger-than-expected rise in U.S. jobless claims, while
conciliatory comments from Russian President Vladimir Putin
eased jitters about the Ukraine crisis that had prompted some
safe-haven buying of bullion.
The number of Americans filing new claims for unemployment
benefits rose more than expected last week. But analysts said
the four-week average of claims remained consistent with solid
job gains, analysts said.
NEW YORK/LONDON, Aug 13 (Reuters) – Gold rose on Wednesday
after soft retail sales pointed to some loss of momentum in the
U.S. economy, reducing fears among bullion investors that the
Federal Reserve may raise interest rates sooner than expected.
The metal, however, remained in a narrow range, as signs
that tensions in Ukraine and Iraq may be easing helped stock
markets in Europe and the United States.
The Commerce Department said retail sales were virtually
unchanged in July, in part because of a second straight month of
declines in receipts at auto dealers. July’s reading was the
weakest since January.
Analysts said that the yellow metal is likely to remain
rangebound in the near term barring a dramatic change in the
global economic outlook and geopolitical tensions.
“We saw a move upwards after the retail sales data, which is
now correcting,” Commerzbank analyst Daniel Briesemann said. “We
don’t see any data coming up, or any other news, which is really
going to shake gold out of its trading band.”
Spot gold was up 0.3 percent at $1,312.60 an ounce by
2:35 p.m. EDT (1835 GMT).
U.S. COMEX gold futures for December delivery settled
up $3.90 at $1,314.50, with trading volume about 40 percent
below the 30-day average.
The metal has firmly held, however, within this month’s $45
Positive U.S. economic data, including second-quarter
economic growth and wage increases, has sparked speculation that
the Fed could raise interest rates sooner than expected, which
could dampen gold’s appeal as a hedge.
Gold exchange-traded funds – popular investment vehicles
that issue securities backed by physical metal – reported
inflows on Tuesday, Reuters data showed, suggesting some
investor appetite for the metal.
Demand in major consumer China remained muted. A lack of
robust physical demand could make it hard to sustain rallies and
may also mean there is little support if prices drop.
As a reflection of weak Asian bullion consumption, gold
stocks held at U.S. exchange warehouses have shot to their
highest since March 2013, keeping a lid on prices.
In precious metals benchmarking news, the U.S. Mint said on
Wednesday it will adopt the new “London Silver Price” benchmark
for its coin sales, silver purchases and price management
programs following the end of the 117-year-old “silver fixing”
Among other precious metals, silver was down 0.2
percent at $19.81 an ounce. Platinum eased 0.1 percent to
$1,460.80 an ounce, while palladium gained 0.5 percent to
$877.20 an ounce.
NEW YORK, Aug 13 (Reuters) – Gold stocks held at U.S.
exchange warehouses have shot to their highest since March 2013
as Asian bullion consumption weakened, keeping a lid on prices.
Total U.S. gold stocks GC-STX-COMEX, comprised of 100-troy
ounce COMEX approved gold bars in CME Group’s five COMEX
warehouses in New York, rose to 9.74 million ounces on Monday,
the highest since February 2013, latest exchange data shows.
NEW YORK/LONDON, Aug 12 (Reuters) – Gold prices edged higher
on Tuesday, supported after two days of declines by signs that
the stand-off between Russia and Ukraine was hurting economic
confidence in the euro zone economy.
Analyst and investor morale in Germany, Europe’s largest
economy, plunged in August to its lowest level in more than a
year and a half as the crisis in Ukraine took its toll, the ZEW
monthly survey showed.