FX & CFD trading involves significant risk
Gold prices decline on Friday, but will increase the second consecutive week due to unceasing concern for the health of the global economy.
The growth of quotations of gold, as well as bonds and the Japanese yen, helping the increased demand for safe assets amid slowing global economic growth. Especially the market worried about the deterioration of economic indicators in Europe and China, while the United States is improving statistics.
Today, the price of gold showing a decrease, since the problems of the world economy fell slightly on Thursday after the release of positive American data, but concerns over the outlook for the eurozone is saved.
Demand for gold-seekers weakened after the United States Department of Labor reported that the number of initial claims for unemployment insurance for the week ending October 11 fell by 23,000 to a 14-year low of 264,000 from 287,000 the previous week. Analysts had expected jobless claims to fall to 286,000 by 1000.
A separate report showed that industrial production in the United States has increased in the last month by 1.0%, beating expectations of 0.4% growth.
Market sentiment also rose after the head of the Federal Reserve of St. Louis James Bullard said the central bank may need to store a program of bond purchases, given the reduction in inflation expectations.
Nevertheless, concerns about deflation in the euro zone persist after revised data showed on Thursday that consumer price inflation in the currency bloc rose in September by 0.3%, in line with expectations.
The inflation rate for 12 consecutive months are below 1%, while the inflation target marker for the European Central Bank is slightly less than 2%.
Today's report on the housing market has shown that the volume of new housing constructions grew moderately in September, confirming the predictions of experts. According to the data, at the end of last month, the volume of housing starts rose by 6.3% (seasonally adjusted), reaching an annual rate of 1.017 million. Units. The number of building permits increased by 1.5% - up to 1,018,000. Units. Economists forecast that the tab will rise to 1.02 million., And the number of permits would rise to 1.04 million. Units.
The world's largest reserves of the gold-exchange trading fund SPDR Gold Trust on Thursday rose by 0.24 percent to 760.94 tons. Physical demand in Asia has increased, as evidenced by the increase in margins in China's largest consumer of gold to $ 02.03 an ounce to the indicative spot price at $ 01.02 on Thursday. Demand for gold tends to rise in China and India in the fourth quarter due to holidays and weddings.
|remaining time till the new event being published|