Black Friday Sale! Save huge on InvestingProGet up to 60% off

Gold prices gain as FOMC minutes loom

Published 07/09/2014, 09:12 AM
Gold rises ahead of Fed meeting minutes
GC
-
HG
-
SI
-

Investing.com - Gold futures were higher on Wednesday, as investors positioned themselves ahead of Federal Reserve meeting minutes due to be published later in the day.

On the Comex division of the New York Mercantile Exchange, gold for August delivery rose to a session high of $1,328.30 a troy ounce, the most since July 2, before trimming gains to last trade at $1,326.90 during U.S. morning hours, up 0.79%, or $10.40.

Gold ended Tuesday’s session down 0.04%, or 50 cents, to settle at $1,316.50. Futures were likely to find support at $1,309.40, the low from July 3 and near-term resistance at $1,334.90, the high from July 1.

Also on the Comex, silver for September delivery tacked on 0.93%, or 19.5 cents, to trade at $21.20 a troy ounce.

Markets were looking the minutes of the Fed’s June meeting for further indications on its monetary policy stance. The Fed was widely expected to stick to its dovish stance amid concerns over ongoing slow growth in inflation and wages in the U.S.

Investors remained cautious amid concerns that recent U.S. data showing that the labor market is continuing to strengthen will not be enough to prompt the Fed to bring forward its timetable for raising interest rates.

Official data late last week showed that the U.S. economy added a larger-than-forecast 288,000 jobs last month, while the unemployment rate ticked down to 6.1%, the lowest in almost six years.

Elsewhere in metals trading, copper for September delivery advanced 0.44%, or 1.4 cents, to trade at $3.271 a pound.

Data released earlier showed that consumer price inflation in China rose 2.3% in June from a year earlier, slowing from 2.5% in May and compared to expectations for 2.4%.

A separate report showed that producer price inflation declined 1.1% last month after falling 1.4% in May. Analysts had expected producer prices to fall 1% in June.

The Asian nation is the world’s largest copper consumer, accounting for almost 40% of world consumption.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.