Gold Prices Edge Up, Dollar Receives Boost

Gold prices edge up

The Friday morning saw the price of yellow metal rising in the Asian market. However, it seemingly headed towards the weekly loss, second on a trot. Now, the entire focus remains on the Federal Reserve’s policy meeting that would provide an idea on the tapering of assets. 

Gold futures inched up to $1,758.75 by 0.12% at 3:39 AM GMT (11:39 PM ET). Notably, the precious metal had fallen around 2.7 percent on Thursday. In the last week, it has already dropped by 1.8 per cent. 

The US dollar, which works inversely proportional to gold, also inched down on Friday’s earlier trading hours. However, it still remained at approximately three weeks high. 

The data released on Thursday pushed the US currency. The report exhibited that on a month-on-month basis, the retail sales grew by 0.7 per cent. Meanwhile, the core retail sales surged by 1.8 per cent month-on-month in August 2021. 

Over the past week, the initial jobless claims grew to 332,000. The Philadelphia Federal Reserve Manufacturing Index of September was 30.7. On the other hand, the Philly Fed Employment reached 26.3. 

Now, investors are waiting for Michigan Consumer Sentiment indexes and the Michigan Consumer Expectations. 

Some expert investors are anticipating the beginning of asset tapering in November 2021. Interestingly, the Fed officials will assemble for the meeting next week to arrive at the policy decision. It could offer the exact timeline, which can result in investors making better investments. That’s something that has put reins to the economy’s recovery following the spread of the delta variant of COVID-19. 

Philip Lane, ECB (European Central Bank), chief economist in a meeting with a German economist, revealed that it is looking to hit the 2 percent inflation goal by 2025. However, the statement led the bond futures to drop. Hence, the ECB rejected the veracity of the article. 

On the other side, silver prices remained flat at USD 22.93 for an ounce. It hit the month’s low on Thursday. Meanwhile, Palladium inched down by 0.1 per cent, and Platinum jumped by 0.6 per cent. 

In the other news, the Brent crude futures plunged to USD 75.50 a barrel and lost 17 cents or 0.2 per cent at 0359 GMT. It gave up the gain of 21 cents in the previous session. 

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