FX & CFD trading involves significant risk
Gold traded near a two-week low, which was caused by good inflation data from China and a slight depreciation of the dollar, because there is still uncertainty about interest rates in the United States. Economists polled by Reuters said that there is a 70% probability that the Fed will begin to conduct another round of quantitative easing, or buying government bonds to lower borrowing costs. Gold has lost about 1% last week under the pressure of constant weakness of the euro against the backdrop of the continuing debt crisis.
Gold rose after the Chinese data showed that inflation expectations have increased in July, signaling the prospects of the response by the central bank to prevent a recession.
Last week, the People's Bank of China unexpectedly lowered the benchmark interest rate, which was the second month, thus creating more favorable conditions for investments in gold.
Data from the Commodity Futures Trading Commission last week showed that speculators reduced their stocks of gold futures on the largest number in the last three months.
August gold futures on the COMEX today has grown today to 1589.9 dollars per ounce.
|remaining time till the new event being published|
All posted material is a marketing communication solely for informational purposes and reliance on this may lead to loss. Past performance is not a reliable indicator of future results. Please read our full disclaimer.