New sanctions won't hurt gold

12 September, 2017

The gold price is stable in early Asian trading today after falling heavily yesterday after a planned missile test from North Korea failed to eventuate, but that may change over the next couple of days on the back of stronger sanctions imposed by the UN security council.

It what has been classed as a watered-down version, the UN security council that includes China and Russia, unanimously approved a new round of sanctions against North Korea which did not include an oil embargo as the US had sought.

Many believe this will not deter North Korea from their nuclear ambitions and another test may be around the corner and as is the usual case investors will seek safety in gold.

Data out of the US this week which includes CPI numbers on Thursday may also help choose the direction of gold.

Currently inflation in the US sits well below the US Federal Reserve’s target rate at 1.8 percent where it has remained for some time and even a booming jobs market can’t boost the figure

ВВ Unless there is a strong rebound in inflation from the previous months the chances of any further rate hikes from the Fed this year will disappear which will also boost the gold price

“The major determinant of gold last week was geopolitical tensions," says research chief Mark To at Wing Fung Financial Group in Hong Kong, "

“And while at the weekend we did not see any crisis triggering event, those tensions ВВ are still with us and the slowing of interest rate hikes and other tightening measures are going to be with us as well." He added


Source link  
Oil surges on conflict concerns

The oil price has continued to rise in today’s trading session after yesterday’s gains on the back of attacks on two oil tankers in the Gulf of Oman...

Gold need to hold this level

The gold price is now trading at its lowest level since the start of the year and is now consolidating around the $1275 mark and according to one...

Gold faces key moment

The gold price has remained above the $1300 mark in today's trading session after breaking this important level yesterday and today's outcome...


US dollar down on dovish Fed

As predicted yesterday, the Fed kept interest rates on hold but the following monetary statement was much more dovish than analysts had predicted...

Gold needs some big news

The gold price is under further pressure in today's trading session as investors ponder the chances of another rate hike from the US Federal Reserve after the release...

Good news for the precious metal

Gold just got another reason to cheer after the latst minutes meeting from the US Federal reserve where the tone left many analysts predicting that...


Gold to stay above $1300

The gold price has recovered strongly over the past 3 trading sessions after coming perilously close to touching the $1300 mark and...

Oil price hinges on trade talks

Oil is down once again in today's trading session as investors and the market alike remain divided on the future direction of the price with a lot...

Oil needs Opec cuts

The latest tumble in the oil price has now reached gigantic levels, almost equaling the declines reached during the global financial crisis and according to some analysts, we may...

  


Share it on:   or