Gold Prices Slips on Dollar Fears After Fed Rate Rise Expectations

Gold Prices Slips on Dollar Fears After Fed Rate Rise Expectations

Prices of US gold futures down almost one percent on Wednesday after posting modest gains during the night, as the dollar hit a 3-week high after strong economic data of the US and the minutes of the policy meeting April Federal Reserve, thought it might be tougher than statement.

Gold for June delivery on the Comex division of the New York dipped $2.00, or 0.16%, to trade at 1,274.80 a troy ounce.

Spot gold dipped 0.7 percent to $1,271.60 an ounce.

A day earlier, gold inserted into $ 2.70, or 0.21%, but investors took a cautious after strong data on US inflation and the reviews by the Federal Reserve officials rekindled prospects rates of central banks raising later this year.

Yellow metal prices have risen nearly 19% so beginning of the year amid signs that the Fed will take a slow and cautious approach to increasing interest rates this year.

Gold is responsive to the movement in US rates, as an increase would raise the opportunity cost of hold assets not yield as bullion. A gradual process to higher rates is seen as little threat for gold prices to a rapid series of increases.

The US dollar index, which tracks the greenback versus a basket of six rivals, rose 0.2% to 94.77, nearing a three-week high of 94.84 hit on Friday.

Holdings in SPDR Gold exchange-traded fund, rose 0.56 percent to 855.89 tonnes on Tuesday, the highest since Nov 2013.

Trading in the domestic market is sluggish. Only weak rupee support prices. While 0.2 per cent down on MCX gold is trading around Rs 30,000.

For Commodity Market Tips, MCX Live Tips, Gold-Silver Prices and trading market latest news & updates  with 100McxTips, follow us on Twitter @100mcxtips and Like on Facebook.  And to contact the reporter on this story email at support@100mcxtips.com or Call: +91-761-4012307

Best Mcx Tips Provider

Advertisements

100McxTips is an experienced Mcx Commodity Research Advisory to predict investors buying and trading trends at various market environments. For free trial advisory on commodity Gold, Silver, Crude, Copper and all Indian Commodities kindly visit us and submit an query form at 100mcxtips free trial tips here.

Posted in Commodity, MCX, Stocks Market

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Free Crude Oil Tips
Free Trial Crude Trading Tips
Contact & Visit Info
+91-761-4012307
M-Sat : 10am - 7pm
NG Trading Tips
Free Trial Commodity Tips
Disclaimer: 100McxTIps would like to remind you that the data contained in this website is not necessarily real-time nor accurate. Bulloin Futures prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore 100McxTips doesn`t bear any responsibility for any trading losses you might incur as a result of using this data .
%d bloggers like this: