- Write by:
-
Friday, July 1, 2022 - 18:48:26
-
524 Visit
-
Print
Mining News Pro - Gold experienced a relatively larger decline on Thursday following a string of sluggish sessions this week, and is now headed for its worst quarter in five as the hawkish tone from global central banks continues to dim the metal’s appeal.
Spot gold slid 0.3% to $1,811.23 per ounce by 12:30 p.m. ET, on pace for a third consecutive monthly decline. US gold futures also dropped 0.3% to $1,811.50 per ounce in New York.
Meanwhile, the dollar index hovered near its recent two-decade peak, and is bound for its best quarter in over seven years, making gold more expensive for overseas buyers.
“Gold is ending lower this quarter due to the tighter Federal Reserve policy suggestions. Also, there’s a good chance that recession worries will bring down demand across commodities,” Jim Wyckoff, senior analyst at Kitco Metals, told Reuters.
Gold briefly bounced after US data showed PCE price index rose 6.3% after advancing by the same margin in April. However, prices quickly moved back into the tight range it has been in for the past few sessions.
“The data initially gave traders the idea that since inflation wasn’t any worse than last month, maybe the Fed won’t be so aggressive, helping gold. However, the market is still firmly bearish and speculative sellers jumped in to push prices down,” added Wycoff.
Bringing down high inflation will be painful and could even crash growth, but it must be done quickly to prevent rapid price growth from becoming entrenched, the world’s top central bank chiefs said at the European Central Bank’s annual conference in Portugal.
Other precious metals, including silver and palladium saw bigger prices drops, with the latter down 3.6% to $1,903.59 an ounce.
“If you’re talking recession, it means less automotive production and industrial activity; this is hurting palladium,” Bart Melek, head of commodity strategies at TD Securities, explained.
Short Link:
https://www.miningnews.ir/En/News/621657
China’s Zhaojin Mining Industry said on Wednesday that its A$733 million ($477.8 million) offer to buy Australia’s ...
Toronto-listed miner OceanaGold Corp said on Wednesday it will raise 6.08 billion pesos ($106 million) through an ...
Gold’s record-setting rally this year has puzzled market watchers as bullion has roared higher despite headwinds that ...
AbraSilver Resource said on Monday it has received investments from both Kinross Gold and Central Puerto, Argentina’s ...
Gold took a tumble as haven demand waned after geopolitical tensions eased in the Middle East.
The four largest indigenous communities in Chile’s Atacama salt flat suspended dialogue with state-run copper giant ...
A prefeasibility study for Predictive Discovery’s (ASX: PDI) Bankan gold project in Guinea gives it a net present value ...
Representatives from the Peñas Negras Indigenous community, in northwestern Argentina, clashed with heavily armed police ...
Newmont confirmed on Wednesday that two members of its workforce died this week at the Cerro Negro mine located in the ...
No comments have been posted yet ...