Arab Today, arab today gold prices expected to fall as it loses hedge allure
Last Updated : GMT 17:12:35
Arab Today, arab today
Arab Today, arab today

Gold prices expected to fall as it loses hedge allure

Arab Today, arab today

Arab Today, arab today Gold prices expected to fall as it loses hedge allure

New York - Arabstoday

Gold may fall in New York on speculation Europe\'s debt accord will curb demand for the precious metal as a hedge against losses in other markets. Stocks climbed to an eight-week high and the euro strengthened as the accord expands the European bailout fund by four or five times, to about €1 trillion (Dh5.1 trillion). Gold climbed 6.9 per cent in the past four sessions as Europe\'s banks clashed with politicians during debt talks. \"Gold should trade lower if market participants agree that the €1 trillion bazooka is enough to manage the Euro-area crisis,\" said Bayram Dincer, an analyst at LGT Capital Management in Pfaeffikon, Switzerland. \"I wouldn\'t expect gold to fall that much because the debt plan still needs to be tested.\" Gold for December delivery fell 0.3 pern cent to $1,719 (Dh6,313) an ounce by 8.35am on the Comex in New York. The metal for immediate delivery dropped 0.3 per cent to $1,719.07 an ounce. Taking a haircut The most important outcome of the talks was that bondholders agreed to take 50 per cent losses on Greek debt, most likely avoiding a \"credit event,\" Edel Tully, an analyst at UBS AG in London, said Thursday. A credit event would have triggered payments on $3.7 billion of debt-insurance contracts. Holdings in exchange-traded funds backed by the metal were little changed at 2,231.8 tonnes yesterday after rising 0.5 per cent the day before, data compiled by Bloomberg show. Silver for December delivery jumped 0.9 per cent to $33.615 an ounce, palladium futures gained 2.8 per cent to $664.15 an ounce and platinum for January delivery increased 0.8 per cent to $1,610 an ounce. Investor confidence was also bolstered by data from the United States showing signs of economic growth. Solid momentum US durable goods data on Wednesday indicated the economy was heading into the fourth quarter with solid momentum, showing that demand for a range of long-lasting US-made goods rose at the fastest pace in six months in September. And in big commodity consumer China, there are expectations the government may loosen a tight liquidity policy in the fourth quarter as growth slows, while hopes are running high that inflation has peaked. Global stock prices and the euro rose on news of the deal, and the dollar fell against a basket of currencies. Main driver The metal is also being supported by labour disputes that led Freeport MacMoRan Copper & Gold to declare force majeure at its Grasberg mine on Wednesday. \"Encouraging headlines on an agreement on measures to find a solution to the Eurozone sovereign debt crisis seems to be the main driver,\" said Citigroup analyst David Thurtell. Grains also rose, with US wheat up 1.7 per cent yesterday. Corn firmed following its biggest drop in a month. Commodities: Metals lead gainers Commodities rose yesterday, led by metals, after a deal by European leaders to tackle the euro zone debt crisis enticed investors back into riskier assets. Copper rose on the London Metal Exchange gained almost 5 per cent, hitting its highest level in more than a month. \"We\'ve seen an upturn in risk appetite across the board; the equity markets have moved higher, the dollar\'s weakened and that\'s tended to take a lot of commodities higher,\" Standard Chartered analyst Daniel Smith said. Euro zone leaders struck a deal with private banks and insurers for them to accept a loss on their Greek government bonds under a plan to lower Greece\'s debt burden and try to contain the two-year-old euro zone crisis. The agreement was reached after more than eight hours of hard-nosed negotiations involving bankers, heads of state, central bankers and the International Monetary Fund. It aims to draw a line under spiraling debt problems that have threatened to unravel the European single currency project. \"This morning is all about risk-on,\" said RBS commodities strategist Nikos Kavalis. \"Today the (gold) price has come under some pressure but has been supported by good buying from private banks.\"  

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today gold prices expected to fall as it loses hedge allure Arab Today, arab today gold prices expected to fall as it loses hedge allure

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today gold prices expected to fall as it loses hedge allure Arab Today, arab today gold prices expected to fall as it loses hedge allure

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today A no-frills business success

GMT 07:00 2017 Wednesday ,20 September

A no-frills business success
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Israel sees benefits in independent Kurdistan

GMT 07:58 2017 Wednesday ,20 September

Israel sees benefits in independent Kurdistan
Arab Today, arab today Saudi Arabia to unblock internet calling apps

GMT 11:31 2017 Wednesday ,20 September

Saudi Arabia to unblock internet calling apps
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Ministry seeks to improve education

GMT 14:49 2017 Sunday ,17 September

Ministry seeks to improve education
Arab Today, arab today New Zealand opposition looks

GMT 10:35 2017 Thursday ,14 September

New Zealand opposition looks
Arab Today, arab today Puerto Rico, Virgin Islands brace

GMT 12:01 2017 Wednesday ,20 September

Puerto Rico, Virgin Islands brace
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Intel chips loaded in Waymo

GMT 14:43 2017 Wednesday ,20 September

Intel chips loaded in Waymo
Arab Today, arab today Five trends at the Frankfurt auto show

GMT 12:04 2017 Monday ,18 September

Five trends at the Frankfurt auto show
Arab Today, arab today Horia Farghaly happy for success of “Case G”

GMT 12:14 2017 Monday ,18 September

Horia Farghaly happy for success of “Case G”
Arab Today, arab today France hopeful of persuading Trump

GMT 06:21 2017 Wednesday ,20 September

France hopeful of persuading Trump

GMT 06:31 2017 Saturday ,16 September

Eman Al Assy receives three offers

GMT 05:05 2017 Tuesday ,12 September

Pregnant woman's suicide roils China

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 19:18 2017 Monday ,18 September

5,000 'Dieselgate' deaths in Europe per year

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 04:26 2017 Wednesday ,20 September

Opioid overdose deaths take 2.5 months

GMT 11:40 2017 Monday ,18 September

Russia and Iraq restore air travel

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 12:56 2017 Friday ,15 September

Apple's grand plan in Ireland held up by a forest

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday