World Economy
0

Gold Slips as USD Claws Back

Gold Slips as USD Claws BackGold Slips as USD Claws Back

Gold dipped on Monday as a revival in the dollar prompted some buyers to cash in gains in the metal after its sixth weekly price increase in seven weeks, Reuters reported. Gold has risen more than 3% so far this month, and after a strong end to December touched its highest since August 2016 last week at $1,366.07 an ounce. Its strength has been driven largely by a slide in the dollar index to three-year lows.

A recovery in the currency on Monday after six straight weeks of losses has prompted a pullback. Spot gold was down 0.2% at $1,437.56 an ounce, while US gold futures for February delivery were down $5.80 an ounce at $1,346.30. “We have seen massive rebound in gold, and traders need more clarity in relation to the dollar trend after mixed comments from the US president and US treasury secretary,” ThinkMarkets’ chief market analyst Naeem Aslam said. “Our view that it is likely that we will get another push to the upside (in gold),” he added.

 

Add new comment

Read our comment policy before posting your viewpoints

Financialtribune.com