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PRECIOUS-Gold holds near 6-wk high ahead of Fed chair hearing
November 28, 2017 / 1:28 AM / 14 days ago

PRECIOUS-Gold holds near 6-wk high ahead of Fed chair hearing

    Nov 28 (Reuters) - Gold prices on Tuesday held near a
six-week high hit in the previous session, supported by a weaker
dollar ahead of a congressional hearing on U.S. Federal Reserve
chair nominee Jerome Powell and a possible Senate vote on U.S.
tax reforms.   
    
    FUNDAMENTALS    
    * Spot gold        was up 0.1 percent at $1,295.31 an ounce
at 0120 GMT. On Monday, the metal touched a high of $1,299.13 an
ounce, its highest since Oct. 16        
    * U.S. gold futures         for December delivery were
nearly unchanged at $1,294.80. 
    * The dollar on Tuesday remained within sight of a two-month
low versus the yen, with the near-term focus on a possible
Senate vote on a U.S. tax plan later in the week.USD/]
    * Powell, the nominee to chair the Federal Reserve, defended
the Fed's use of broad crisis-fighting powers in remarks
prepared for his Tuesday Senate confirmation hearing,
positioning himself as an extension of the central bank policies
of current Chair Janet Yellen and her predecessor Ben Bernanke.
            
    * A U.S. Senate Republican tax bill strongly backed by
President Donald Trump faced potential opposition from two
Republican lawmakers who could prevent the sweeping legislation
from reaching the Senate floor. Republicans are hurrying to
bring the U.S. Senate version of their tax bill to a Senate
vote, possibly as soon as Thursday.             
    * Sales of new U.S. single-family homes unexpectedly rose in
October to hit a 10-year high amid robust demand across the
country, offering a boost to the housing market.             
    * Dallas Fed President Robert Kaplan on Monday made his
clearest case yet for an interest-rate hike next month and more
to come in 2018, saying that waiting too long to tighten policy
could increase the risk of recession.             
    * Minneapolis Fed President Neel Kashkari, who dissented
both times the Fed raised interest rates so far this year, on
Monday signaled he may do so again in December when the Fed is
widely expected to deliver a third rate hike.              
    * Hedge funds and money managers cut their net long
positions in COMEX gold and silver contracts in the week to Nov.
21, U.S. Commodity Futures Trading Commission (CFTC) data showed
on Monday. Speculators cut their net long position in gold by
3,944 contracts to 177,066 contracts in the week.             
    
        DATA/EVENT AHEAD (GMT)
    0700  Germany  Import prices                       Oct
    0900  Euro zone Lending and money supply           Oct
    1200  Germany GfK consumer sentiment               Dec
    1330  U.S. Advance goods trade balance             Oct
    1330  U.S. Wholesale inventories                   Oct
    1400  U.S. Monthly home price index                Sep
    1400  U.S. S&P/Case-Shiller home prices            Sep
    1500  U.S. Consumer confidence                     Nov
    1500  U.S. Senate Banking Committee holds hearing on
              nomination of Jerome Powell to be chairman of the 
              Federal Reserve

 (Reporting by Vijaykumar Vedala in Bengaluru; editing by
Richard Pullin)
  

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