Home

 
India Bullion iPhone Application
  Quick Links
Currency Futures Trading

MCX Strategy

Precious Metals Trading

IBCRR

Forex Brokers

Technicals

Precious Metals Trading

Economic Data

Commodity Futures Trading

Fixes

Live Forex Charts

Charts

World Gold Prices

Reports

Forex COMEX India

Contact Us

Chat

Bullion Trading Bullion Converter
 

$ Price :

 
 

Rupee :

 
 

Price in RS :

 
 
Specification
  More Links
Forex NCDEX India

Contracts

Live Gold Prices

Price Quotes

Gold Bullion Trading

Research

Forex MCX India

Partnerships

Gold Commodities

Holidays

Forex Currency Trading

Libor

Indian Currency

Advertisement

 
MW: Gold dulled by dollar as Fed statement looms
 
Gold futures were ticking lower in early Wednesday trade ahead of a highly anticipated policy statement from the Federal Reserve.

The U.S. Dollar Index DXY, +0.14% a measure of the greenback’s strength against a basket of six currencies, may be a key driver of gold’s moves on Wednesday.

The dollar index, which had been marginally higher in early trade, was about flat to lower at 96.6780, as traders brace for hawkish comments from the conclusion of the Federal Open Market Committee’s two-day meeting, which could point to a September rate hike.

A policy statement from the FOMC is expected at 2 p.m. Eastern Wednesday.

Read: UPS fires warning short across the bow of the stock market and the Fed

Higher interest rates can deliver a boost to the dollar because hiked rates increase the return on dollar deposits, making it more attractive to currency traders. But higher rates for gold can mute the appeal of the dollar-denominated yellow metal, which doesn’t bear interest, and would be more expensive to buyers in other currencies.

August gold GCQ5, -0.22% was off $3.10, or 0.3%, at $1,093 an ounce on Comex after settling at $1,096.20 on Tuesday. The move lower in gold comes amid concerns that the commodity is facing a long-term bear market that could see the metal drop to $350 an ounce, according to a piece by MarketWatch columnist Mark Hulbert.

September silver SIU5, +0.23% fell about 2 cents Wednesday, or 0.1%, to $14.62 an ounce from a Tuesday settlement of $14.642.

In other metals, platinum for October delivery PLV5, -0.20% lost $1.90, or 0.2%, to $984.50 an ounce from a settlement on Tuesday of at $986.40, while September palladium PAU5, +0.06% gained $1.60, or 0.3%, to $623.20 an ounce from a Tuesday close of $621.60 an ounce

September copper HGU5, +0.10% was one penny higher, or up 0.4%, at $2.41 a pound Wednesday from a settlement of $2.403 a pound in the previous session.
Source