Gold prices were set for a second consecutive weekly fall, even as bullion traded almost flat on Friday as investors refrained from taking big positions ahead of U.S. non-farm payrolls data that could offer more cues on the Federal Reserve’s policy path.
FUNDAMENTALS
* Spot gold XAU= was nearly unchanged at $2,302.51 per ounce, as of 0046 GMT. Prices were down more than 1% this week.
* U.S. gold futures GCcv1 were flat at $2,310.40 per ounce.
* The non-farm payrolls report is due at 1230 GMT.
* The U.S. central bank held interest rates steady on Wednesday and indicated it is still leaning towards eventual reductions in borrowing costs, but put a red flag on recent disappointing inflation readings that could make those rate cuts a while in coming.
* Bullion is known as an inflation hedge, but elevated interest rates reduce the appeal of holding the non-yielding asset.
* Data on Thursday showed the number of Americans filing new claims for unemployment benefits held steady at a low level last week, pointing to a still fairly tight labour market that should continue to underpin the economy in the second quarter.
* SPDR Gold Trust GLD, the world’s largest gold-backed exchange-traded fund, said its holdings fell 0.17% to 829.60 tonnes on Thursday from 831.04 tonnes on Wednesday.
* Spot silver XAG= fell 0.2% to $26.65 per ounce and was down nearly 2% for the week.
* Platinum XPT= gained nearly 0.8% to $957.15 and was on track for a weekly gain. Palladium XPD= edged up 0.2% to $937.57.
DATA/EVENTS (GMT)
0830 UK S&P Global PMI: Composite – Output April
0830 UK Reserve Assets Total April
0900 EU Unemployment Rate March
1230 US Non-Farm Payrolls April
1230 US Employment Rate April
1345 US S&P Global Comp, Svcs Final PMI April
1400 US ISM N-Mfg PMI April
Strategic Planning, Leadership & Analysis Professional with a background in healthcare, manufacturing and retail. I have a strong understanding of the complex world of revenue Management and how to make it more relevant, understandable, and actionable for executive leadership across all levels of an organization. My career has spanned several years at UnitedHealth Group, Inc. I obtained my B. Comm from the University of Windsor and MBA from Wayne State University
Share This Article
Choose Your Platform: Facebook Twitter Google Plus Linkedin