PT Solid Gold Berjangka | Gold Tracks Toward Small Weekly Gain Ahead of US Inflation Data
GOLD EMAS PT SGB SOLID GOLD BERJANGKA SG BERJANGKA SOLID GROUP
Solid Gold Berjangka | Gold looked set to eke out a small weekly gain after a report signaled momentum was slowing in the US economy, ahead of fresh inflation data that might offer clues on the Federal Reserve’s rate path.
Just 24 hours before the release of the Fed’s favorite price gauge, figures showed the US economy grew at a softer pace in the first quarter — which may bolster the case for monetary easing. Two-year Treasury yields dropped and a gauge of dollar strength fell after the print — offering support to bullion as it doesn’t yield interest and is priced in the US currency.
The metal has largely traded in a narrow band this week amid a lack of fresh insight into how inflation is tracking. Markets are keenly awaiting the personal consumption expenditures price index due later Friday — with the print expected to suggest that price pressures moderated in April. That would support the case for rate cuts later this year, typically a positive for the non-yielding precious metal.
Bullion is up 14% this year and reached an all-time high last week, largely driven by optimism for a Fed pivot to monetary easing during 2024. It’s also been supported by haven purchases due to conflicts in Ukraine and the Middle East, as well as buying from central banks and Chinese consumers.
Spot gold was tracking toward a weekly gain of 0.4% on Friday, when it was little changed at $2,343.62 an ounce as of 8:20 a.m. in Singapore. The Bloomberg Dollar Spot Index was steady after dropping 0.2% on Thursday. Silver and platinum were flat, while palladium edged lower.
Source : Bloomberg