Europe Roundup: Sterling edges higher as Britain gets ready for April re-opening ,European stocks flat ,Gold little changed, Oil falls on OPEC+ concerns over slow demand recovery-March 31st,2021
America’s Roundup: Dollar slides ahead of U.S. payrolls data, Wall Street gains, Gold rises, Oil rises as OPEC+ decides on production policy-April 2nd, 2021
Europe Roundup: Euro weakens after German investor morale falls in April, European shares pause near record high, Gold slips to one-week low, Oil prices tick up after robust China data-April 13th 2021
America’s Roundup: Greenback hits 4-week low on retreating US Treasury yields, Wall Street ends higher, Gold gains, Oil dips but posts weekly gain on recovery hopes-April 17th,2021
America’s Roundup: Dollar drops to three-week lows after inflation data,Wall Street ends mixed, Gold gains, Oil rises 1% after robust China data but J&J vaccine pause weighs-April 14th,2021
America’s Roundup: Dollar drops as traders prepare for inflation data, Wall Street ends mixed, Gold slips, Oil rises on U.S. vaccine rollout, Middle East tension-April 13th,2021
Gold off 3-week peak as greenback steadies amid caution over U.S. stimulus
Gold prices eased from a 3-week high hit earlier in the day as the dollar firmed, although hopes for a new U.S. coronavirus aid package limited the precious metal’s losses.
Spot gold declined 0.3 percent to $1,925.64 per ounce by 0734 GMT, having hit a high of $1933.29 earlier, its highest since September 21. U.S. gold futures rose 0.2 percent at $1,930.35.
The dollar index steadied near a 3-week low against its rival currencies after negotiation on the U.S. stimulus package ran into resistance and as the yuan dropped after China’s central bank took a measure seen as aimed at curbing its strength.
The Trump administration called on Congress to pass a stripped-down coronavirus relief bill using leftover funds from an expired small business loan programme. The $1.8 trillion economic stimulus proposal drew criticism from congressional Democrats and Republicans, diminishing hopes for a coronavirus relief deal before the Nov. 3 election. Although investors seem optimistic that spending will resume at some point.
U.S. House Speaker Nancy Pelosi, in a weekly letter to Democratic colleagues, stated that the Trump administration’s proposal lacked a strategic plan to crush the virus and gave President Donald Trump too much discretion to decide how funds were allocated.
With November 3 election only weeks away, investors speculate that Democrat Joe Biden is more likely to win the U.S. presidency and offer a larger economic package.
China returned from an eight-day Mid-Autumn festival with investors encouraged by a robust rebound in tourism and ebbing coronavirus cases. The People’s Bank of China said it will lower the reserve requirement ratio for financial institutions when conducting some foreign exchange forwards trading, removing a guard against depreciation.
The greenback against a basket of currencies traded flat at 93.08, having touched a low of 93.01 earlier, its lowest since September 21.
Trading is likely to remain subdued as U.S. markets are closed on account Columbus Day.