Powered By

Breaking News

Gold advances on growth hopes ahead of central banks meetings

Publish Date06/03/2013 07:51:12 AM

Last Update06/03/2013 08:08:40 AM

Gold advances on growth hopes ahead of central banks meetings

Precious-Gold advanced for a second day on Wednesday ahead of anticipated monetary decisions by three major central banks due on Thursday, while investors expect the banks to stick to their loose monetary policies reviving bullions` inflation-hedge appeal.

While South Korea joined Russia and Kazakhstan in boosting gold holdings, the Central Bank of Korea (BOK) announced on Wednesday it added 20 tons of gold in February, raising total holdings by 24 percent to 104.4 tons, the decision that supported gold’s sentiment.

Spot gold is trading around $1577.76 per ounce by 09:39 (GMT+2) after opening at $1575.28, hitting a high of $1580.06 and a low of $1575.09 an ounce.

Silver traded at $28.71 an ounce after opening at $28.47, hitting high at $29.08 and low at $27.94 an ounce.

The European Central Bank, the Bank of England and the Bank of Japan are all expected to continue with expansionary monetary policy. The only surprise could be in the form of more quantitative easing by these central banks.

Eyes will track the ECB rate decision amid expectations of wtinessing a hold in interest rate at its record low of 0.75%. Thereafter, ECB President Mario Draghi will deliver a press conference.

The BoE is predicted to keep both interest rate and APF quantity at 0.50% and 375 billion pounds.

The trading range for gold today is expected between the key support at $1570.00 and the key resistance now at $1590.00.

Investors turned their attention toward the equities market, with the Dow Jones Industrial Average hitting a record high since 2007 after data on showed service industries in the U.S. expanded in February at a fast pace.

Additionally, investors are keen to see Friday`s jobs report which will determine whether there is improvement in U.S. labor market after the Federal Reserve`s announcement of further stimulus. The Fed ties the continuation of its accommodative monetary policies with the improvement in the labor sector.

As of 09:42 (GMT+2), the dollar index hovered around 82.03 after opening at 82.02, where it hit a high of 82.06 and a low of 81.92.


Member Account Required
You must be registered as a member of the forums and logged into your account to post messages. If you do not have a member account, please Sign In or Register.
United States
Asia Pacific
Economic Calendar
Holiday Calendar
ECB Calendar
Feds Calendar
BoE Calendar
Boj Calendar
Top News
FX Updates
Market News
Global Highlights
Political News
Around the World
At A Glance & Video Commentaries
Market Pulse
Press Releases
About Us
Contact Us
Privacy Policy
Terms of Services

Risk Disclaimer : All information on this page is subject to change. The use of this website constitutes acceptance of our Privacy Policy and Terms of Service. Please read our Privacy Policy, Risk Disclaimer, Terms of Services and all legal disclaimers. Please note that Forex trading (OTC Trading) involves substantial risk of loss, and may not be suitable for everyone.

Opinions expressed at ICN.com are those of the individual authors and do not necessarily represent the opinion of ICN.com or its management, shareholders, affiliates and subsidiaries. ICN.com has not verified the accuracy of any claim or statement made by any independent writer and is reserved as their own and ICN.com is not accountable for their input. Any opinions, news, research, analysis, prices or other information contained on this website, by ICN.com, its employees, partners or contributors, is provided as general market commentary and does not constitute investment advice. ICN.com will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information. The data contained on this website is not necessarily real-time or accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market prices, meaning prices are indicative and not appropriate for trading purposes. ICN.com does not bear any responsibility for any trading losses you might incur as a result of using this data.