Gold Prices Move Higher While Dollar Weakens
- Trade Magnates Team
- Oct 13, 2017
- 1 min read
Trade Magnates -Gold prices moved higher on Friday, while speculation on US Dollar remain uncertain amid U.S. inflation data to be released later in the day. Comex gold futures were up at 1,299.10$ a troy ounce just off a two-and-a-half week high of 1,300.75$ hit overnight.
Gold is sensitive to U.S. rates and the dollar moves. A weaker dollar makes gold less expensive for holders of foreign currency, while a rise in U.S. rates raises the opportunity cost of holding non-yielding assets such as bullion.
Although the Dollar has gained strength upon the release the jobless claims by the department of labour yesterday, the US dollars weakened ahead of the U.S. consumer price inflation release later in today.