Golds rally may falter

17 February, 2017

The gold price has racked up its 2nd straight day of gains today on the back of US dollar weakness and doubts over an interest rate hike next month from the US Federal Reserve. At 4.48pm (GMT) gold was trading at $1,240 up from $1,231 in yesterday’s trading. Federal Reserve Chair Janet Yellen is currently giving her testimony to the U.S. Congress this week with Analysts expecting a hawkish tone with regards to rate rises.

Some however still don’t see a rate rise next month as a done deal which may be supporting gold at the moment.

The question is now how much longer can the rally last?

The gold price has also Broken with tradition recently by rising alongside the US dollar and SnP 500 which is a particularly rare occurrence as they usually move in opposite directions

"Gold is approaching a turning point and the upward trend in prices could end in the near future," said Jiang Shu, chief analyst at Shandong Gold Group.

"Perhaps the market is currently underestimating the prospects of an interest rate hike by the US Federal Reserve in March, given the strong economic data. The impact on gold prices would probably show in the medium term." He added.


Source link  
Impeachment talk boosts gold

The gold price hit is highest level in 3 weeks yesterday after calls for the impeachment of US President Donald Trump left financial markets...

Oil to hit $75

The oil price surged as high as 20 percent is yeaterday’s trading session after an attack on Saudi Arabia’s biggest oil field removed more than 5 million...

Gold headed for $1600

The gold price remains steady today after turning back from what was beginning to look like a solid rally yesterday after words by US President...


Euro awaits Jackson hole

Despite all the pressure facing the European economy the Euro has managed to remain above the $1.10 level, but it seems the market is predicting...

Gold's next target is $1600

The gold price has taken a breather over the last few days after rallying more than $100 dollars in the space of 2 weeks and some...

Gold rally not over

The gold price remains firmly above the US $1500 dollar mark in today's trading session as traders seek out the precious metal as a safe haven on the back of political...


Gold poised to hit $1500

Gold continues to surge in today's trading session, following on from last weeks solid gains as investors seek out safe havens against the...

Aussie dollar up on Chinese data

The Australian dollar remains firmly above the US70c mark in today’s trading session after a strong round of data out of China alleviated...

Pound may hit $1.37 by years end

The British pound is expected to face increased volatility over the coming months as the deadline approaches for the UK to leave the EU at the end...

  


Share it on:   or