Latest News

Gold Futures Settle Higher As Dollar Weakens Ahead Of Inflation Data

Gold prices climbed higher on Monday, as the dollar weakened ahead of U.S. inflation data.

Moody’s downward revision in the outlook for the U.S.’ credit rating to negative by stable weighed on the dollar.

Moody’s reaffirmed the U.S. credit rating at Aaa but said it “expects that the U.S.’ fiscal deficits will remain very large, significantly weakening debt affordability.”

The dollar index dropped to 105.59 with investors looking ahead to U.S. inflation data for clarity about the outlook for the Federal Reserve’s interest rate.

Gold futures for December ended higher by $12.50 at $1,950.20 an ounce.

Silver futures for December ended up $0.077 at $22.358 an ounce, while Copper futures for December settled at $3.6660 per pound, gaining $0.0790.

The New York Fed said inflation expectations declined at the one-year and five-year ahead horizons in October, falling to 3.6% from 3.7% and to 2.7% from 2.8%, respectively.

Investors await crucial U.S. consumer price inflation and producer price inflation figures this week for important clues on the likelihood of another interest rate hike in December.

U.S. CPI data due Tuesday is expected to show inflation easing to a year-on-year rate of 3.3% in October from 3.7% in the prior month.

What is your reaction?

In Love
Not Sure

You may also like

Leave a reply

Your email address will not be published.

More in:Latest News