AIRLINK 61.87 Decreased By ▼ -0.61 (-0.98%)
BOP 5.33 Decreased By ▼ -0.03 (-0.56%)
CNERGY 4.45 Decreased By ▼ -0.13 (-2.84%)
DFML 15.34 Decreased By ▼ -0.16 (-1.03%)
DGKC 65.25 Decreased By ▼ -1.15 (-1.73%)
FCCL 17.15 Decreased By ▼ -0.44 (-2.5%)
FFBL 27.53 Decreased By ▼ -0.17 (-0.61%)
FFL 9.30 Increased By ▲ 0.03 (0.32%)
GGL 10.02 Decreased By ▼ -0.04 (-0.4%)
HBL 104.80 Decreased By ▼ -0.90 (-0.85%)
HUBC 121.45 Decreased By ▼ -0.85 (-0.7%)
HUMNL 6.50 Decreased By ▼ -0.10 (-1.52%)
KEL 4.42 Decreased By ▼ -0.08 (-1.78%)
KOSM 4.48 No Change ▼ 0.00 (0%)
MLCF 35.38 Decreased By ▼ -0.82 (-2.27%)
OGDC 122.27 Decreased By ▼ -0.65 (-0.53%)
PAEL 22.65 Decreased By ▼ -0.35 (-1.52%)
PIAA 31.54 Increased By ▲ 2.20 (7.5%)
PIBTL 5.77 Decreased By ▼ -0.03 (-0.52%)
PPL 106.80 Decreased By ▼ -0.70 (-0.65%)
PRL 27.05 Decreased By ▼ -0.20 (-0.73%)
PTC 18.23 Increased By ▲ 0.16 (0.89%)
SEARL 52.44 Decreased By ▼ -0.56 (-1.06%)
SNGP 62.73 Decreased By ▼ -0.48 (-0.76%)
SSGC 10.57 Decreased By ▼ -0.23 (-2.13%)
TELE 9.04 Decreased By ▼ -0.16 (-1.74%)
TPLP 11.39 Decreased By ▼ -0.05 (-0.44%)
TRG 69.93 Decreased By ▼ -0.93 (-1.31%)
UNITY 23.49 Decreased By ▼ -0.13 (-0.55%)
WTL 1.27 Decreased By ▼ -0.01 (-0.78%)
BR100 6,917 Decreased By -26.4 (-0.38%)
BR30 22,640 Decreased By -187 (-0.82%)
KSE100 66,862 Decreased By -279.8 (-0.42%)
KSE30 22,021 Decreased By -69.5 (-0.31%)

NEW YORK: Gold drifted sideways on Monday as investors were caught between fears of a spike in the highly transmissible Delta strain of the coronavirus and expectations of an early interest rate hike by the US Federal Reserve.

Non-yielding gold, which is also seen as a safe investment during uncertain times, tends to fall out of favour among investors when interest rates rise.

Spot gold was steady at $1,779.70 per ounce by 13:31 p.m. EDT (1731 GMT). US gold futures settled up 0.2% at $1,780.70.

There are growing concerns about the spread of the Delta variant of the coronavirus, which is bringing back a slight bid into the gold market from a safe-haven perspective, said David Meger, director of metals trading at High Ridge Futures.

“Although, no rallies continue to follow through because of the recent set of rhetoric in regards to the potential for reducing asset purchases (by the US Fed).”

Gold suffered its biggest intraday drop in five months after the Fed signalled earlier than expected policy tightening on June 16.

The S&P 500 and the Nasdaq hit record levels, limiting bullion’s gains.

“That takes some of the wind out of the sails of the gold market, and the reason why we saw gold fall below $1,800 level recently was based on that,” Meger added.

Investors are looking to US non-farm payrolls data on Friday.

The potential for a stronger jobs report this week could inhibit positive flows into gold for now, TD Securities wrote in a note.

“In this context, gold is not completely out of the woods just yet, with another leg lower toward the $1,730 per ounce region opening the door to another round of CTA (Commodity Trading Advisor) selling.”

Elsewhere, silver rose 0.1% to $26.09 per ounce, platinum slid 1.4% to $1,095.70, and palladium gained 1.6% to $2,679.92.

Comments

Comments are closed.