May 21, 2020 / 1:25 AM / 8 days ago

PRECIOUS-Gold slips as economic recovery hopes lift equities

    May 21 (Reuters) - Gold eased on Thursday as equities gained
on hopes for a swift recovery from the coronavirus-induced
economic slump, although losses were capped by optimism over
further stimulus measures.
        
    FUNDAMENTALS
    * Spot gold        slipped 0.2% to $1,745.32 per ounce by
0044 GMT. U.S. gold futures        declined 0.2% to $1,748.60.
    * Asian shares were poised to open higher after global
equities and crude prices rallied overnight on hopes of a rapid
economic recovery and government support.            
    * The minutes of the latest Federal Reserve policy meeting
showed that members acknowledged the possibility of further
support measures if the economic downturn persists.
                        
    * Widespread stimulus measures tend to benefit gold as it is
used as a hedge against inflation and currency debasement.
    * Global coronavirus cases surpassed 5 million on Wednesday,
with Latin America overtaking the United States and Europe in
the past week to report the largest portion of new daily cases
globally.             
    * Underscoring the economic impact of the pandemic,
Britain's inflation rate sank in April to its lowest since
August 2016, bolstering the prospect of more Bank of England
stimulus next month.             
    * Euro zone annual inflation in April was 0.3%, the lowest
level in nearly four years, according to final data released by
Eurostat, which revised down its earlier estimate as energy
prices fell more than initially expected.             
    * Palladium        fell 0.9% to $2,082.98 per ounce, silver
       eased 0.4% to $17.44 and platinum        dipped 0.1% to
$849.74.

DATA/EVENTS (GMT)
0730  Germany  Markit Mfg, services, comp flash PMI  (May)
0800  EU       Markit Mfg, services, comp flash PMI  (May)
0830  UK       Flash composite, Mfg, services PMI    (May)
1230  U.S.     Initial jobless claims                (Weekly)
1230  U.S.     Philly Fed business index             (May)
1345  U.S.     Markit Mfg, services, comp flash PMI  (May)
1400  U.S.     Existing home sales                   (April)

 (Reporting by K. Sathya Narayanan in Bengaluru; Editing by
Subhranshu Sahu)
  
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