Fed Could Jeopardize Gold’s Corrective Bounce

Published 10/29/2014, 11:37 AM
Updated 07/09/2023, 06:31 AM
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Gold prices finished the day mostly unchanged in trading Tuesday, receiving a boost following a weaker-than-expected economic report.

US durable goods orders fell by 1.3% in September versus expectations of a rise of around 0.5%. The gold market popped up from modestly lower levels following this downbeat piece of US data.

The focus of the market now shifts to the Federal Open Market Committee (FOMC) of the Federal Reserve’s regular meeting that began on Tuesday and ends Wednesday afternoon. As usual, the Wednesday afternoon statement from the FOMC will be very closely scrutinized by the market place.

On Tuesday, October 28, Japanese Silver fell by 3.7% to JPY 570.00 ($5.24) per 10 grams, making it the day’s biggest mover. Indian silver saw its price rise 0.6% to INR 38,925 ($634.94) per kilogram. At $17.11 per ounce, US silver fell 0.6% on Tuesday. Chinese silver prices saw a 0.5% decline to CNY 3,825 ($622.79) per kilogram.

US gold bullion finished the day down 0.3% to $1,225 per ounce. The price of Chinese gold bullion fell 0.2% to CNY 242.00 ($39.40) per gram. At JPY 4,271 ($39.23) per gram, the price of Japanese gold bullion was essentially unchanged. Indian gold bullion saw little change in its price yesterday at INR 27,390 ($446.78) per 10 grams.

The price of US Platinum bar declined 1.6% to $1,252 per ounce. Japanese platinum bar ended the day at JPY 4,350 ($39.95) per gram, after the 0.2% drop yesterday. The price of Chinese platinum bar showed little movement yesterday at CNY 264.00 ($42.98) per gram.

US Palladium bar prices inched up 0.6% to $781.00 per ounce. The price of Japanese palladium bar continues hovering around JPY 2,677 ($24.59) per gram for the fifth day in a row. After a couple of days of improving prices, the price of Chinese palladium bar held steady at CNY 171.00 ($27.84).

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