Latest news with #KelvinWong
Yahoo
5 days ago
- Business
- Yahoo
Gold slides as safe-haven demand eases
Gold (GC=F) Gold prices edged lower on Friday morning as renewed optimism over trade negotiations between the United States and key partners, including the European Union, diminished bullion's traditional appeal as a safe-haven asset. Gold futures were down 0.5% to $3,356.10 per ounce, at the time of writing, while spot gold lost 0.3% to $3,360.13 per ounce. 'Basically we are seeing some profit-taking from short-term bullish speculators due to the fact that we now start to see this trade-deal optimism in the market,' OANDA senior market analyst Kelvin Wong said. Investor appetite for riskier assets increased following reports that Washington and Brussels were moving closer to a trade agreement. The deal under discussion could include a baseline 15% US tariff on EU goods, with certain exemptions. The development follows the recent unveiling of a separate trade agreement between the US and Japan. Read more: FTSE 100 LIVE: Markets lower as June heatwave boosts UK retail sales Despite the downward pressure, Wong noted that certain macroeconomic factors continued to lend support to the precious metal. 'The dollar is in a weakening bias and on top of that, we still have the Fed rate cuts pretty much alive at this juncture, which are supporting gold near $3,360 level,' he said. In a surprise move, US president Donald Trump is expected to visit the Federal Reserve later on Friday, adding an element of uncertainty to the US policy outlook. The visit comes amid his repeated criticism of Fed chair Jerome Powell for not easing interest rates more aggressively. The Fed is widely anticipated to keep interest rates on hold at its 29–30 July meeting. However, markets continue to price in the possibility of a rate cut as early as September. Gold, often sought as a hedge during periods of economic uncertainty, tends to perform well in a low-interest rate environment. Nikos Tzabouras, senior market analyst at said: "Gold remains under pressure as risk-on sentiment prevails and the US dollar rebounds. Safe-haven demand fades due to increased trade optimism following the US-Japan deal, which is expected to reduce the impact of tariffs on both the global and US economies. This optimism along with strong US jobs data hurts the case for Federal Reserve rate cuts — a positive development for the greenback but a negative one for non-yielding assets such as gold. "However, the US dollar may face renewed headwinds due to concerns over fiscal policy and the Federal Reserve's independence. Moreover, gold's safe-haven appeal could quickly return, as trade tensions may persist in the lead-up to the 1 August deadline. In addition, continued central bank demand remains a structural driver supporting bullion." Oil (BZ=F, CL=F) Oil prices gained on Friday, buoyed by renewed optimism over US trade talks, which outweighed concerns over an expected uptick in Venezuelan crude supply. Brent (BZ=F) crude futures gained 0.7% to trade at $68.88 per barrel, at the time of writing, while West Texas Intermediate (CL=F) futures climbed by 0.8% to $66.55 a barrel. The prospect of further trade agreements between the US and its global partners, days ahead of the 1 August deadline for a new wave of tariffs, helped support sentiment in the oil market. Read more: NatWest beats on profits and announces £750m share buyback 'This has raised hopes that the US will soon reach a deal with the European Union as well, before the tariff deadline which expires in just over a week's time,' David Morrison, senior market analyst at Trade Nation said. The rise in oil prices was despite reports indicating Trump had allowed Chevron (CVX) to restart operations in Venezuela. 'This should see Venezuelan oil exports increase by a little more than 200,000 b/d, welcome news to US refiners that will ease some tightness in the heavier crude market,' Warren Patterson, head of commodities strategy at ING Group, said in a note. Pound (GBPUSD=X, GBPEUR=X) The pound weakened against both the dollar and the euro in early European trading on Friday after official data showed UK retail sales rose less than expected in June, raising questions about the strength of consumer spending ahead of the Bank of England's next policy meeting. Sterling was down 0.2% to $1.3480 at the time of writing, while also falling 0.3% against the euro to €1.1456. Figures released by the Office for National Statistics showed retail sales, a key indicator of household consumption, increased 0.9% month-on-month. That was below the 1.2% gain forecast by economists, though a marked improvement from May's 2.7% decline. On an annual basis, sales rose 1.7%, narrowly missing the expected 1.8%. Stocks: Create your watchlist and portfolio The data reinforced concerns that the UK consumer sector remains fragile, with growth still subdued despite easing inflation and slightly improved wage growth. Looking ahead, attention is shifting to the Bank of England's interest-rate decision at its August meeting. Markets will be closely watching for any signals on the future path of monetary policy, which could influence sterling's trajectory. The US dollar index ( which measures the greenback against a basket of six currencies, was higher at 97.50. In equities, the FTSE 100 (^FTSE) was in the red this morning, retreating 0.3% to 9,109 points. For more details, on market movements check our live coverage in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
Gold slides as safe-haven demand eases
Gold (GC=F) Gold prices edged lower on Friday morning as renewed optimism over trade negotiations between the United States and key partners, including the European Union, diminished bullion's traditional appeal as a safe-haven asset. Gold futures were down 0.5% to $3,356.10 per ounce, at the time of writing, while spot gold lost 0.3% to $3,360.13 per ounce. 'Basically we are seeing some profit-taking from short-term bullish speculators due to the fact that we now start to see this trade-deal optimism in the market,' OANDA senior market analyst Kelvin Wong said. Investor appetite for riskier assets increased following reports that Washington and Brussels were moving closer to a trade agreement. The deal under discussion could include a baseline 15% US tariff on EU goods, with certain exemptions. The development follows the recent unveiling of a separate trade agreement between the US and Japan. Read more: FTSE 100 LIVE: Markets lower as June heatwave boosts UK retail sales Despite the downward pressure, Wong noted that certain macroeconomic factors continued to lend support to the precious metal. 'The dollar is in a weakening bias and on top of that, we still have the Fed rate cuts pretty much alive at this juncture, which are supporting gold near $3,360 level,' he said. In a surprise move, US president Donald Trump is expected to visit the Federal Reserve later on Friday, adding an element of uncertainty to the US policy outlook. The visit comes amid his repeated criticism of Fed chair Jerome Powell for not easing interest rates more aggressively. The Fed is widely anticipated to keep interest rates on hold at its 29–30 July meeting. However, markets continue to price in the possibility of a rate cut as early as September. Gold, often sought as a hedge during periods of economic uncertainty, tends to perform well in a low-interest rate environment. Nikos Tzabouras, senior market analyst at said: "Gold remains under pressure as risk-on sentiment prevails and the US dollar rebounds. Safe-haven demand fades due to increased trade optimism following the US-Japan deal, which is expected to reduce the impact of tariffs on both the global and US economies. This optimism along with strong US jobs data hurts the case for Federal Reserve rate cuts — a positive development for the greenback but a negative one for non-yielding assets such as gold. "However, the US dollar may face renewed headwinds due to concerns over fiscal policy and the Federal Reserve's independence. Moreover, gold's safe-haven appeal could quickly return, as trade tensions may persist in the lead-up to the 1 August deadline. In addition, continued central bank demand remains a structural driver supporting bullion." Oil (BZ=F, CL=F) Oil prices gained on Friday, buoyed by renewed optimism over US trade talks, which outweighed concerns over an expected uptick in Venezuelan crude supply. Brent (BZ=F) crude futures gained 0.7% to trade at $68.88 per barrel, at the time of writing, while West Texas Intermediate (CL=F) futures climbed by 0.8% to $66.55 a barrel. The prospect of further trade agreements between the US and its global partners, days ahead of the 1 August deadline for a new wave of tariffs, helped support sentiment in the oil market. Read more: NatWest beats on profits and announces £750m share buyback 'This has raised hopes that the US will soon reach a deal with the European Union as well, before the tariff deadline which expires in just over a week's time,' David Morrison, senior market analyst at Trade Nation said. The rise in oil prices was despite reports indicating Trump had allowed Chevron (CVX) to restart operations in Venezuela. 'This should see Venezuelan oil exports increase by a little more than 200,000 b/d, welcome news to US refiners that will ease some tightness in the heavier crude market,' Warren Patterson, head of commodities strategy at ING Group, said in a note. Pound (GBPUSD=X, GBPEUR=X) The pound weakened against both the dollar and the euro in early European trading on Friday after official data showed UK retail sales rose less than expected in June, raising questions about the strength of consumer spending ahead of the Bank of England's next policy meeting. Sterling was down 0.2% to $1.3480 at the time of writing, while also falling 0.3% against the euro to €1.1456. Figures released by the Office for National Statistics showed retail sales, a key indicator of household consumption, increased 0.9% month-on-month. That was below the 1.2% gain forecast by economists, though a marked improvement from May's 2.7% decline. On an annual basis, sales rose 1.7%, narrowly missing the expected 1.8%. Stocks: Create your watchlist and portfolio The data reinforced concerns that the UK consumer sector remains fragile, with growth still subdued despite easing inflation and slightly improved wage growth. Looking ahead, attention is shifting to the Bank of England's interest-rate decision at its August meeting. Markets will be closely watching for any signals on the future path of monetary policy, which could influence sterling's trajectory. The US dollar index ( which measures the greenback against a basket of six currencies, was higher at 97.50. In equities, the FTSE 100 (^FTSE) was in the red this morning, retreating 0.3% to 9,109 points. For more details, on market movements check our live coverage in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Shafaq News
5 days ago
- Business
- Shafaq News
Gold prices dip on US-EU trade optimism
Shafaq News Gold prices edged lower on Friday, as signs of progress in trade negotiations between the U.S. and its trading partners weighed on safe-haven demand, although an overall weaker dollar limited losses for bullion. Spot gold was down 0.2% at $3,360.68 per ounce, as of 0459 GMT. U.S. gold futures fell 0.3% to $3,363. 'Basically we are seeing some profit-taking from short-term bullish speculators due to the fact that we now start to see this trade-deal optimism in the market,' OANDA senior market analyst Kelvin Wong said. 'However, the dollar is in a weakening bias and on top of that, we still have the Fed rate cuts pretty much alive at this juncture, which are supporting gold near $3,360 level.' The European Union and the United States now appear to be heading towards a possible trade deal, according to EU diplomats, which would result in a broad 15% tariff on EU goods imported into the U.S., mirroring a framework agreement Washington struck with Japan. The S&P 500 and the Nasdaq notched record closing highs overnight as signs of easing global trade tensions lifted risk sentiment among investors. Offering respite to gold, the U.S. dollar index (.DXY), opens new tab was headed for its worst week in a month, making greenback-priced gold less expensive for other currency holders. Data showed U.S. jobless claims unexpectedly fell last week, signalling a steady labour market despite sluggish hiring making it harder for the unemployed to find work. The Federal Reserve is also widely expected to leave rates unchanged at its July 29–30 meeting, but markets continue to price in a potential rate cut in September. Spot silver eased 0.3% to $38.96 per ounce, but was on track for a weekly gain, up 2% for the week. Platinum fell 0.8% to $1,396.43 and palladium slipped 0.9% to $1,217.02.
CNBC
5 days ago
- Business
- CNBC
Gold subdued as trade optimism weighs, but soft dollar cap losses
Gold prices edged lower on Friday, as signs of progress in trade negotiations between the U.S. and its trading partners weighed on safe-haven demand, although an overall weaker dollar limited losses for bullion. Spot gold was down 0.1% at $3,363.91 per ounce, as of 0243 GMT. However, bullion has gained 0.4% so far this week. U.S. gold futures fell 0.2% to $3,365.50. "Basically we are seeing some profit-taking from short-term bullish speculators due to the fact that we now start to see this trade-deal optimism in the market," OANDA senior market analyst Kelvin Wong said. "However, the dollar is in a weakening bias and on top of that, we still have the Fed rate cuts pretty much alive at this juncture, which are supporting gold near $3,360 level." The European Union and the United States now appear to be heading towards a possible trade deal, according to EU diplomats, which would result in a broad 15% tariff on EU goods imported into the U.S., mirroring a framework agreement Washington struck with Japan. The S&P 500 and the Nasdaq notched record closing highs overnight as signs of easing global trade tensions lifted risk sentiment among investors. Offering respite to gold, the U.S. dollar index was headed for its worst week in a month, making greenback-priced gold less expensive for other currency holders. Data showed U.S. jobless claims unexpectedly fell last week, signaling a steady labor market despite sluggish hiring making it harder for the unemployed to find work. The Federal Reserve is also widely expected to leave rates unchanged at its July 29–30 meeting, but markets continue to price in a potential rate cut in September. Spot silver rose 0.2% at $39.14 per ounce and was on track for a weekly gain, up 2.5% for the week. Platinum eased 0.2% to $1,407.10 and palladium climbed 0.9% to $1,238.73.
Zawya
5 days ago
- Business
- Zawya
Gold subdued as trade optimism weighs, but soft dollar cap losses
Gold prices edged lower on Friday, as signs of progress in trade negotiations between the U.S. and its trading partners weighed on safe-haven demand, although an overall weaker dollar limited losses for bullion. Spot gold was down 0.1% at $3,363.91 per ounce, as of 0243 GMT. However, bullion has gained 0.4% so far this week. U.S. gold futures fell 0.2% to $3,365.50. "Basically we are seeing some profit-taking from short-term bullish speculators due to the fact that we now start to see this trade-deal optimism in the market," OANDA senior market analyst Kelvin Wong said. "However, the dollar is in a weakening bias and on top of that, we still have the Fed rate cuts pretty much alive at this juncture, which are supporting gold near $3,360 level." The European Union and the United States now appear to be heading towards a possible trade deal, according to EU diplomats, which would result in a broad 15% tariff on EU goods imported into the U.S., mirroring a framework agreement Washington struck with Japan. The S&P 500 and the Nasdaq notched record closing highs overnight as signs of easing global trade tensions lifted risk sentiment among investors. Offering respite to gold, the U.S. dollar index was headed for its worst week in a month, making greenback-priced gold less expensive for other currency holders. Data showed U.S. jobless claims unexpectedly fell last week, signalling a steady labour market despite sluggish hiring making it harder for the unemployed to find work. The Federal Reserve is also widely expected to leave rates unchanged at its July 29–30 meeting, but markets continue to price in a potential rate cut in September. Spot silver rose 0.2% at $39.14 per ounce and was on track for a weekly gain, up 2.5% for the week. Platinum eased 0.2% to $1,407.10 and palladium climbed 0.9% to $1,238.73. (Reporting by Brijesh Patel in Bengaluru; Editing by Subhranshu Sahu and Sherry Jacob-Phillips)
