Gold declined in New York, trimming a monthly advance, as some traders booked profits after prices climbed to a 17-week high and amid speculation a weaker yuan may hurt demand from China.
Gold is the third-biggest gainer, after coffee and lean hogs, in the Standard & Poor’s GSCI gauge of 24 commodities this year on speculation haven demand increased after U.S. data that missed estimates added to concern the recovery may be faltering just as the Federal Reserve tapers bond buying. The precious metal is up 10 percent in 2014. China’s yuan slid the most on record and India raised the benchmark gold import price.
“Gold has been moving higher in terms of all currencies in recent days and weeks but it has gotten a bit over-bought in the shortest of terms,” economist Dennis Gartman said in his daily report today. Weakness in gold is “a gathering of gold’s forces before it moves higher again,” he wrote.
Gold for April delivery slid 0.3 percent to $1,328.20 an ounce by 7:32 a.m. on the Comex in New York on trading volumes that were 11 percent lower than the average for the past 100 days for this time of day. Bullion for immediate delivery fell 0.2 percent to $1,328.17 an ounce in London. Prices are up 6.8 percent this month, the most since July, and reached a 17-week high of $1,345.46 on Feb. 26.
via Bloomberg
Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.
Alfonso Esparza
trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Latest posts by Alfonso Esparza (see all)
- Market Rally Still Going Low Holiday Volumes Awaiting Start of 2020 - 27 December 2019
- Market Awaits China Retaliation on Trade - 29 November 2019
- Alibaba to Close Order Book Ahead of Huge IPO - 18 November 2019