- Write by:
-
Monday, April 22, 2024 - 22:35:23
-
86 Visit
-
Print
Gold took a tumble as haven demand waned after geopolitical tensions eased in the Middle East.
Bullion dropped the most since February last year, down as much as 2.5% to trade as low as $2,331.22 an ounce after a five-week rally. While Israel and Iran have traded attacks, raising concerns about an all-out-war in the region, Tehran has played down the impact and significance of Israel’s recent strike, saying on Monday that Israel has received the “necessary response at this stage.”
The fact that the Iran regime downplayed Israel’s response — and signaled no retaliation — has taken some risk premium out of the gold market, according to Nicholas Frappell, global head of institutional markets at ABC Refinery in Sydney. Monday’s bearish sentiment on oil also supported the idea of easing tensions in the Middle East, he added.
Beyond the Middle East, traders are focusing on US economic data, including the Federal Reserve’s preferred measure of inflation, which will give more clues on the path for monetary policy.
Gold remains about 13% higher this year after the recent surge to a record, with gains supported by central bank buying and demand from Asia, especially China. The commodity has risen despite advances in the US currency and 10-year Treasury yields, factors that would usually be a headwind. Against that backdrop, banks including Goldman Sachs Group Inc. have been raising their price targets for the precious metal.
Spot gold slipped 2.3% to $2,337.88 an ounce at 11:38 a.m. in New York, while the Bloomberg Dollar Spot Index edged higher. Silver sank about 5% after a four-week surge. Palladium and platinum also traded lower.
Short Link:
https://www.miningnews.ir/En/News/628273
South African diversified miner Sibanye Stillwater is discussing with lenders to temporarily lift limits on borrowings, ...
Africa-focused Montage Gold announced Thursday it has received a ministerial order granting all environmental approvals ...
Newmont Corp. has no plans to expedite a decision on its $2.5 billion Yanacocha Sulfides project, dashing the Peruvian ...
China’s central bank added 60,000 troy ounces of gold to its reserves in April, official data showed on Tuesday, ...
Gold rose after mixed signals from the US, where optimism is growing the economy is on target for a soft landing as the ...
Executives from Saudi Arabian mining company Manara Minerals are in Islamabad to continue talks about buying a stake in ...
Harmony Gold said on Thursday an employee working on planned rail maintenance had died at its Mponeng mine in South ...
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 ...
No comments have been posted yet ...