Commodities mixed in the Asian trading session
2022.12.19 03:05
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Commodities mixed in the Asian trading session
Budrigannews.com – As markets digested a flurry of hawkish central bank signals and growing recession risks, gold prices moved little on Monday. However, hopes of a Chinese economic reopening helped prices recover some of their recent losses.
Even though major central banks like and indicated that interest rates are set to rise even further, the near-term outlook for metal markets remained dim.
This year’s rising interest rates hit the metals market hard, raising the opportunity cost of holding non-yielding assets like gold and other precious metals.
Even though gold prices have appreciated in recent weeks due to the possibility of fewer rate hikes from the Fed, the price of the metal is still down 1% for the year. Due to the fact that it has largely ceded its safe haven status to the, gold is also substantially below peak prices reached at the beginning of the Russian invasion of Ukraine.
The yellow metal has also gained little as a result, even in the face of a possible U.S. recession. In the event that high inflation and rising interest rates lead to a recession in 2023, investors are becoming increasingly wary.
was unchanged at around $1,793.55 an ounce at 20:00 ET (1:00 GMT), while rising 0.2 percent to $1,802.90 an ounce.
Due to the absence of cues and market holidays, low volumes are anticipated for the remainder of the year for gold and silver bullion prices.
On Monday, other precious metals rose while the dollar fell by 0.7% and 0.6%, respectively. The year-to-date prices of the two metals were also slightly higher.
Copper prices soared on Monday, recouping sharp losses from the previous week as markets bet on tightening supplies and rising demand in China through 2023.
climbed nearly 1 percent to $3.8063 per ounce.
Rekindled hopes that China, a major importer, will see an economic recovery in 2023 as it reduces its strict zero-COVID policy helped the red metal.
More Oil prices rise in Asian trading session
In any case, in the close term, markets are supposed to view expanded unpredictability as facilitating Coronavirus limitations likewise increase contaminations in the country.
Nevertheless, the imports of copper from China this year increased steadily, as local manufacturers took advantage of the recent decline in prices to make purchases, according to recent trade data.
