MW :Gold edges higher as central banks to keep rates low
Speaking in Jackson Hole, Wyo. over the weekend, central bankers said they aren't ready to step away from playing an active role in the global economy. See full story.
Gains in gold remained small, as regulatory data showed a big drop in buying positions held by gold speculators in the week ended Aug. 18. Meanwhile, holdings in the biggest gold exchange-traded fund climbed slightly, but still remained nearly 70 metric tons lower than their record high.
Gold futures for December delivery gained $2.50, or 0.3%, to $957.20 an ounce on the Comex division of the New York Mercantile Exchange. It rose to $958.50 earlier, the highest level since Aug. 13. The contract also fell as low as $952.20.
"For the moment we expect gold to continue to reflect risk sentiment while remaining in a choppy mood within the recent $930 to $965 area," said James Moore, an analyst at TheBullionDesk.com
Buying positions in Comex gold futures held by non-commercial traders, or those who are not intended to take physical delivery of the metal, fell 8,522 contracts in the week ended Aug. 18, weekly data released late Friday by the Commodity Futures Trading Commission showed. One contract represents 100 ounces of gold.
"Speculators' optimism continues to be a risk factor for the gold price," said analysts led by Barbara Lambrecht at Commerzbank in a note.
Holdings in SPDR Gold Trust (GLD 93.47, -0.18, -0.19%) , the biggest gold ETF, stood at 1,066.41 metric tons Friday, up 0.92 metric tons from a day ago, latest data from the fund showed.
Despite the increase, holdings are still 67.62 metric tons lower than their record high above 1,134 metric tons hit in early June.
Among other metals, silver for September delivery gained 24.1 cents, or 1.7%, to $14.405 an ounce. October platinum fell $7, or 0.6%, to $1,252.20 an ounce, while September palladium lost $2.95, or 1%, to $282 an ounce.
September copper fell slightly to $2.8745 a pound.
China's imports of refined copper fell to 292,226 metric tons in July, down 23% from June's record high of 378,943 metric tons, data from the General Administration of Customs showed on Monday.
"We expect this trend to continue, especially as the majority of imported copper is being stored," said the analysts at Commerzbank. However, "despite the enormous downside risk, momentum for copper prices remains positive.
