AIRLINK 69.92 Increased By ▲ 4.72 (7.24%)
BOP 5.46 Decreased By ▼ -0.11 (-1.97%)
CNERGY 4.50 Decreased By ▼ -0.06 (-1.32%)
DFML 25.71 Increased By ▲ 1.19 (4.85%)
DGKC 69.85 Decreased By ▼ -0.11 (-0.16%)
FCCL 20.02 Decreased By ▼ -0.28 (-1.38%)
FFBL 30.69 Increased By ▲ 1.58 (5.43%)
FFL 9.75 Decreased By ▼ -0.08 (-0.81%)
GGL 10.12 Increased By ▲ 0.11 (1.1%)
HBL 114.90 Increased By ▲ 0.65 (0.57%)
HUBC 132.10 Increased By ▲ 3.00 (2.32%)
HUMNL 6.73 Increased By ▲ 0.02 (0.3%)
KEL 4.44 No Change ▼ 0.00 (0%)
KOSM 4.93 Increased By ▲ 0.04 (0.82%)
MLCF 36.45 Decreased By ▼ -0.55 (-1.49%)
OGDC 133.90 Increased By ▲ 1.60 (1.21%)
PAEL 22.50 Decreased By ▼ -0.04 (-0.18%)
PIAA 25.39 Decreased By ▼ -0.50 (-1.93%)
PIBTL 6.61 Increased By ▲ 0.01 (0.15%)
PPL 113.20 Increased By ▲ 0.35 (0.31%)
PRL 30.12 Increased By ▲ 0.71 (2.41%)
PTC 14.70 Decreased By ▼ -0.54 (-3.54%)
SEARL 57.55 Increased By ▲ 0.52 (0.91%)
SNGP 66.60 Increased By ▲ 0.15 (0.23%)
SSGC 10.99 Increased By ▲ 0.01 (0.09%)
TELE 8.77 Decreased By ▼ -0.03 (-0.34%)
TPLP 11.51 Decreased By ▼ -0.19 (-1.62%)
TRG 68.61 Decreased By ▼ -0.01 (-0.01%)
UNITY 23.47 Increased By ▲ 0.07 (0.3%)
WTL 1.34 Decreased By ▼ -0.04 (-2.9%)
BR100 7,399 Increased By 104.2 (1.43%)
BR30 24,136 Increased By 282 (1.18%)
KSE100 70,910 Increased By 619.8 (0.88%)
KSE30 23,377 Increased By 205.6 (0.89%)
Markets

Gold edges up after Trump offers larger US stimulus

  • Spot gold rose 0.3% at $1,906.15 per ounce by 1:46 p.m. EDT (1746 GMT). US gold futures settled up 0.1% at $1,908.90.
  • Trump said he would agree to go higher than the $1.8 trillion that the White House has offered in coronavirus stimulus to strike a deal.
Published October 16, 2020

Gold prices edged up on Thursday after US President Donald Trump reignited hopes of a coronavirus stimulus package before the Nov. 3 elections, but a strong dollar kept the metal's gains in check.

Spot gold rose 0.3% at $1,906.15 per ounce by 1:46 p.m. EDT (1746 GMT). US gold futures settled up 0.1% at $1,908.90.

Trump said he would agree to go higher than the $1.8 trillion that the White House has offered in coronavirus stimulus to strike a deal.

"The focus is on renewed hopes for stimulus talks as the US president keeps pushing to get a deal done and gold is ignoring the strength in the dollar," ED&F Man Capital Markets analyst Edward Meir said.

"But with the dollar as strong as it is, the upside in gold will likely be limited."

The dollar held gains against rivals, supported by US Treasury Secretary Steve Mnuchin's remarks on Wednesday that a stimulus deal would be hard to reach before the election. Further supporting gold, US weekly jobless claims unexpectedly rose last week.

"The jobless numbers showed that we're not out of the woods yet, we still have a lot of headwinds to contend with, which points to the likelihood of more government intervention through stimulus and suppressed interest rates," said Jeffrey Sica, president and chief investment officer of Sica Wealth Management.

Gold, considered a hedge against inflation, currency debasement and uncertainty, has gained 25% this year, driven by massive global stimulus to cushion economies from the pandemic-induced slump.

"Ultimately the macro factors that have driven investors to seek the yellow metal's warm embrace will keep investment capital flowing into gold well into next year," TD Securities analysts said in a note.

Elsewhere, silver fell 0.4% to $24.19 per ounce, platinum rose 0.5% to $860.92 and palladium climbed 0.2% to $2,349.04.

Comments

Comments are closed.