- Write by:
-
Friday, June 19, 2020 - 6:52:34 PM
-
760 Visit
-
Print
Mining News Pro - Gold prices dipped on Thursday as declining jobless claims in the US, coupled with reports coming out of China that the latest coronavirus outbreak is under control, weighed against the safe-haven metal.
Spot gold was 0.1% lower, trading at $1,724.55 per ounce by 1:30 p.m. ET, after rising to a near one-week high of $1,736.49 earlier in the day. Gold futures also fell 0.4% to $1,721.40 per ounce on the Comex in New York.
“Gold is softer and giving up earlier gains due to some positive reports from Beijing that they have contained the coronavirus outbreak,” Edward Moya, senior market analyst at broker OANDA, told Reuters.
Initial claims for state unemployment benefits dropped for the 11th straight week, falling further away from a record high of 6.86 million in late March.
“However, the long-term prospects are still supporting higher moves as the virus woes are still there. The central bank stimulus with lower interest rates are not going way anytime soon,” Moya added.
US Federal Reserve Chair Jerome Powell told lawmakers this week that “significant uncertainty remains about the timing and strength of the recovery,” with output and employment still far below pre-pandemic levels.
Precious metals trading group MKS PAMP admits the lack of purchases could hold bullion down despite the current risks. It said in a note:
“Ongoing risks to the global economic recovery, especially with regards to recent spikes in virus cases in both the US and China continue to underpin (gold’s) price action. However, a lack of physical demand is likely to see gold hold $1,700-$1,750 over the near term.”
“At the moment, you’ve captured the dichotomy in the market — the risk-on, risk-off shifts,” Kieran Clancy, assistant commodities economist at Capital, told Bloomberg.
“Clearly there are still risks on the horizon, and the market is still sensitive to those risks. It’s encouraging to see pickups in the data, but they’re coming from very low lows.”
Short Link:
https://www.miningnews.ir/En/News/550255
Harmony Gold said on Thursday an employee working on planned rail maintenance had died at its Mponeng mine in South ...
Albemarle, the world’s largest producer of lithium for electric vehicle batteries, could look at reducing capital ...
Emerging North American gold producer Contango ORE is boosting its landhold in Alaska with the acquisition of Canada’s ...
Gold fell, with market watchers saying the previous day’s rally in response to Federal Reserve Chair Jerome Powell’s ...
The Senate voted Tuesday evening to approve legislation banning the import of enriched uranium from Russia, sending the ...
Canadian miner Barrick Gold on Wednesday beat first-quarter profit estimates on higher bullion prices and said it has ...
Barrick Gold faced criticism outside its annual general meeting on Tuesday in Toronto for supporting Malian rulers with ...
BHP Group can’t cherry pick Anglo American assets without paying a hefty premium, Anglo investors told Reuters, ...
The Biden administration is considering banning imports of enriched Russian uranium using executive authority as ...
No comments have been posted yet ...