Gold Weakens Late on Profit Taking After Hitting 11-Week High Early On
Gold prices were modestly lower in afternoon U.S. trading Tuesday, on some profit taking from recent gains. However, prices did score an 11-week high in overnight trading. Safe-haven demand amid market jitters related to plunging crude oil prices and …
Read moreBBH: U.S. Dollar Not Over Valued In Trade-Weighted Terms
Although there are some views that the U.S. dollar is overvalued, analysts at Brown Brothers Harriman say there is still room for the currency to move higher, based on the Federal Reserve’s broad trade-weighted dollar index, which is different from the U.S. Dollar Index. They explain that that the Federal Reserve dollar index includes China and Mexico, two of the biggest trading partners with the U.S., and unlike the traditional currency benchmark, the Federal Reserve’s version is not heavily weighted against the euro. The analysts say the Federal Reserve’s index, has risen 12% from its lows in 2011 to the end of 2014, but prices have not broken their long-term downtrend. “It is difficult to consider the dollar strong on a real broad trade-weighted measure at current levels,” they say. “Given the relative closed nature of the U.S. economy the 12% appreciation of the dollar since 2011 is probably worth around 40 [basis points] of tightening, which has been more than offset by other developments, such as asset purchases, lower interest rates, lower oil prices and rising stock market.”
Debunking Reasons Why The Fed Would Put Rate Hikes On Hold – Capital Economics
(Kitco News) – Amidst plummeting oil prices and uncertainty in Europe, many question whether or not the U.S. Federal Reserve can start raising rates this year; however, one UK-based research firm rejects the reasons why people think the central bank m…
Read moreAnalysts See Higher Gold Prices As Correlation With Oil Breaks Down In Risk-Off Environment
(Kitco News) – Gold is marching to the beat of a different drum, defying weaker oil markets and gaining renewed support as a safe-haven asset, according to analysts.
Read moreBMO: Gold Prices To Remain Weak In 2015
(Kitco News) – The gold market has started off the year on a strong note, but prices are expected to decline after the first quarter, according to analysts from Bank of Montreal Capital Markets.
Read moreWeak $AUD Means Strong Leverage For Domestic Gold Producers – Morgans
Australian-based research firm Morgans sees a weak Australian dollar lending a helping hand to local gold producers.
Read moreSigns of A Bottom For Gold? – ETF Securities
(Kitco News) – Holdings of gold-backed exchange-traded products closed off the year on a negative note; however, ETF Securities said the resilient gold price so far this year, among other factors, may be hinting at a bottom for the metal.
Read moreGold Up, Hits 11-Week High, on Safe-Haven and Technical Buying
Gold prices are moderately higher and scored an 11-week high in early U.S. trading Tuesday.
Read moreThe 6 PM Recap With Gary Wagnerr: Oil Nearing Low Tide, Gold Rises
West Texas Intermediate crude oil fell below $46 per barrel today and it scared the pants off equities traders, who now see the plummeting price as a barrier to profits in the sector. Energy stocks account for about 13% of the old-line stock exchanges
Read moreNomura: Safe-Haven Demand Rising, But Not Dire Enough For Gold
(Kitco News) – Continued uncertainty in Europe, weak global growth, coupled with falling oil and commodity prices, are contributing to volatile equity markets and increasing demand for safe-haven assets, but according to Nomura analysts, gold might no…
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