Price gold in flat in anticipation Powell’s speech
2023.02.06 02:01
Price gold in flat in anticipation Powell’s speech
By Ray Johnson
Budrigannews.com – After having their worst week in seven months, gold prices were down on Monday. Now, the focus is on a conversation with Federal Reserve Chair Jerome Powell after stronger-than-expected employment data in the United States raised concerns about additional monetary tightening.
Gold prices fell by 2.5% on Friday and by over 3% last week after data showed that employment in the United States remained significantly stronger than anticipated in January. A recovery rally in the and was fueled by concerns that the Fed has sufficient economic leeway to keep raising interest rates.
This had a negative impact on the prices of most metals, particularly gold, which had experienced a strong uptick prior to Friday’s data. For the first time in nearly a month, the yellow metal fell below the crucial support level of $1,900.
by 18:50 ET (23:50 GMT), it was unchanged at $1,864.93 per ounce and fell 0.2% to $1,876.40 per ounce.
Markets are now awaiting additional economic signals from a on Tuesday at the Economic Club of Washington, D.C. We will closely monitor any remarks regarding the most recent labor data and inflation’s trajectory.
The Federal Reserve did so last week and indicated that it will continue to do so soon. Because of this, there were more bets that the central bank would change its hawkish stance before the end of the year.
These bets, on the other hand, were quickly shattered by Friday’s strong labor data, which also fueled concerns that inflation might persist for longer than anticipated.
On Friday, other precious metals also fell, and on Monday, they were trading in a range of mixed prices. fell 0.4 percent to $22.340 an ounce in extended losses after falling below $1000 an ounce.
Copper prices, which had lost nearly 4% last week, rose slightly among industrial metals as markets weighed rising concerns of a global recession against a possible recovery in Chinese demand. This year, the global economy is expected to be severely impacted by rising interest rates and high inflation.
to $4.0475 a pound, up 0.4 percent.
This week, civil unrest in Peru, the world’s second-largest copper exporter, and additional economic cues from China are the focus.
