Gold and Copper Decline After Yesterday’s Gains

Precious metals and copper futures retreated after prices surged yesterday, while 10-year Australian bond yields climbed to a two-year high following a jump in U.S. Treasury rates. Asian stocks swung between gains and losses and Indian rupee forwards strengthened.

Gold lost 0.4 percent to $1,238.54 an ounce by 9:56 a.m. in Tokyo, after climbing the most in more than a month yesterday, while silver lost 0.2 percent. Copper futures slid 0.5 percent after the metal gained almost 2 percent in London. Australian yields rose eight basis points and one-month rupee non-deliverable forwards climbed a second day. The MSCI Asia Pacific Index added 0.1 percent even as most stocks fell, while Standard & Poor’s 500 Index (SPX) futures were little changed.

Jobless claims and economic growth figures for the U.S. are due today, while the European Central Bank and Bank of England are projected to hold key rates at record lows. 10-year Treasury yields climbed to an 11-week high in New York as a private job-market report fueled concern tomorrow’s payrolls data may prompt the Federal Reserve to start cutting stimulus. Thai protesters suspended rallies for the king’s birthday today, while South Korea confirmed the fastest annual growth since 2011.

Bloomberg

This article 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 Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.