Gold rises amid expectations to raise interest rates

Gold rises amid expectations to raise interest rates

Gold prices rose during trading on Tuesday, as gains were limited amid speculation that the Federal Reserve may raise interest rates in early September

On the Comex division of the New York Mercantile Exchange, August gold delivery August rose 1.90 cents, or the equivalent of 0.16%, to trade at $ 1,175.50 per ounce during European trading this morning after the highest price record at $ 1,177.80 per ounce, the highest price Since his June 5.

The previous day, gold prices rose 5.50 cents, or the equivalent of 0.47%, to close at $ 1,173.60 per ounce, and the price fell to its lowest level in 11 weeks of $ 1,162.10 per ounce on 5 June

Gold is likely to find support at $ 1,162.10 per ounce, its lowest price since June 5, and resistance at $ 1,186.60 per ounce higher price June 4 since.

And trading the dollar index, which measures the strength of the dollar against a basket of six major currencies, was at 95.30, the lowest price away from his record overnight of 94.86.

And continued dollar and find support amid growing expectations for a rate hike from the Federal Reserve later this year.

And it affects higher borrowing rates for gold as it leads to the decline, as the precious metal is struggling to compete with yielding assets pregnancy when prices are rising.

At the same time, surrounding the talks between Greece and its creditors international developments continued to attract investor interest.

Also German Chancellor Angela Merkel warned on Monday that he did not left a lot of time “to reach an agreement on a cash deal in exchange for the necessary reforms in order to open the way for more financial aid money before it is implemented and the country is facing bankruptcy.

Athens and delayed payment of the debt to the International Monetary Fund scheduled on Friday, saying it would repay the money along with other payments due this month by the end of June / June

Also in the Comex, silver for July delivery rose 3.6 cents, or the equivalent of 0.23%, to trade at $ 15.99 per ounce ,. Silver prices have fallen at $ 15.88 per ounce on Monday, its lowest price since April 30 before closing trading at $ 15.95 per ounce, down by 2.5 cents, or the equivalent of 0.16%.

Elsewhere in the metals trade, copper for July delivery rose 0.1 cents, or the equivalent of 0.05%, to trade at $ 2,698.

Disappointing inflation data for the hopes and indicated that the economic recovery is still weak and may need for further monetary stimulus. From before the official authorities to stimulate the economy.

China is the largest consumer of copper in the world, and account for 40% of global demand.

Leave a Reply

Your email address will not be published. Required fields are marked *