August 29, 2019 / 2:01 AM / 22 days ago

PRECIOUS-Gold prices rise on economic, political turmoil

    Aug 29 (Reuters) - Gold prices climbed up on Thursday, as
fears of an economic slowdown continued, amid the protracted
Sino-U.S. trade conflict and expectations of monetary stimulus,
keeping the save-haven metal in demand.
        
    FUNDAMENTALS
    * Spot gold rose 0.2% to $1,542.35 per ounce, as of
0142 GMT.
    * U.S. gold futures were up 0.1% at $1,550.50 an
ounce.
    * The U.S. Treasury yield curve remains inverted, which is
commonly considered a sign of an impending recession.
    * On Wednesday, underscoring the gloomy global sentiment,
yields on 30-year U.S. Treasuries and 10-year German bunds hit
record lows.
    * The U.S. Federal Reserve and the European Central bank are
expected to cut rates next month, while many investors believe
the Bank of Japan could also join the fray if market sentiment
weakens further.
    * Markets are fully priced in for a quarter-point cut in
interest rates by the U.S. Fed next month, and over 100 basis
points of easing by the end of next year.
    * The Trump administration on Wednesday made official its
extra 5% tariff on $300 billion in Chinese imports and set
collection dates of Sept. 1 and Dec. 15.
    * SPDR Gold Trust, the world's largest gold-backed
exchange-traded fund, said its holdings rose 1% to 882.41 tonnes
on Wednesday from Tuesday.
    * The dollar index, which measures the greenback
against a basket of six major currencies, was little changed
after rising 0.2% in the previous session.
    * British Prime Minister Boris Johnson decided to suspend
Britain's parliament for more than a month before Brexit.

    
    DATA AHEAD (GMT)    
  0645  France   GDP QQ Final             Q1
  0755  Germany  Unemployment Rate SA     Aug
  0900  EU       Consumer Confid. Final   Aug
  1200  Germany  CPI Prelim YY            Aug
  1200  Brazil   GDP QQ, YY               Q2
  1230  US       GDP 2nd Estimate         Q2
  1230  US       Initial Jobless Claims   Weekly
 
    

 (Reporting by Harshith Aranya in Bengaluru; Editing by Rashmi
Aich)
  
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below