👀 Ones to watch: The MOST undervalued stocks to buy right nowSee Undervalued Stocks

Gold Prices Flat as Gloomy Data Underpin Haven Assets

Published 24/09/2019, 16:09
© Reuters.
XAU/USD
-
XAG/USD
-
GC
-
HG
-
SI
-
PL
-
US2YT=X
-
US30YT=X
-

Investing.com -- Gold prices were most flat Tuesday as more positive noises from the trade war were offset by some gloomy U.S. data.

The Richmond manufacturing index fell to -9 from 1 in August, while the Conference Board’s consumer confidence index slipped sharply to 125.1 from a downwardly revised 134.2 in August.

Together, the figures undid much of the feelgood factor created by Monday’s stronger-than-expected survey of U.S. manufacturing from IHS Markit, and were much more consistent with data showing slowdowns in Japan and Europe.

By 11 AM ET, gold futures for delivery on the Comex exchange were down 0.2% on the day at $1,529.15, while spot gold was up marginally at $1,522.17.

Government bond yields were lower all along the yield curve, with the 30-year Treasury losing three basis points to 2.12% and the two-year falling two basis points to 1.65%.

Eurozone bond yields also fell as the Ifo business climate index fell to a new 10-year low.

“As much as we would like to see an end to the downward trend in the German economy, today’s Ifo index is not the indicator signalling it,” said ING analyst Carsten Brzeski. “It’s a short breather, which keeps both the hopes for a bottoming out as well as the fears of another downward slide alive.”

Europe has led the way in portfolio purchases of gold this year as the European Central Bank has been forced to cut its key interest rate even further below zero. That makes gold, which carries no nominal return, more attractive to deposits and other haven assets.

Elsewhere, silver futures corrected downwards after their rise on Monday, dropping 1% to $18.52 an ounce. Platinum futures fell 0.5% to $949.40 an ounce.

Copper futures resumed their downward slide, losing 0.2% to $2.67 a pound.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2024 - Fusion Media Limited. All Rights Reserved.