AGL 6.62 Decreased By ▼ -0.14 (-2.07%)
ANL 10.41 Decreased By ▼ -0.09 (-0.86%)
AVN 76.90 Increased By ▲ 0.55 (0.72%)
BOP 5.44 No Change ▼ 0.00 (0%)
CNERGY 5.25 Decreased By ▼ -0.02 (-0.38%)
EFERT 88.82 Decreased By ▼ -1.03 (-1.15%)
EPCL 76.00 Decreased By ▼ -2.34 (-2.99%)
FCCL 13.75 Decreased By ▼ -0.23 (-1.65%)
FFL 6.60 Increased By ▲ 0.03 (0.46%)
FLYNG 7.12 Increased By ▲ 0.01 (0.14%)
GGGL 10.96 Decreased By ▼ -0.12 (-1.08%)
GGL 16.48 Increased By ▲ 0.04 (0.24%)
GTECH 8.63 Increased By ▲ 0.11 (1.29%)
HUMNL 6.82 Decreased By ▼ -0.07 (-1.02%)
KEL 2.86 Decreased By ▼ -0.04 (-1.38%)
LOTCHEM 25.03 Increased By ▲ 0.43 (1.75%)
MLCF 25.69 Decreased By ▼ -1.22 (-4.53%)
OGDC 77.04 Decreased By ▼ -0.74 (-0.95%)
PAEL 15.62 Decreased By ▼ -0.03 (-0.19%)
PIBTL 5.95 Increased By ▲ 0.04 (0.68%)
PRL 17.21 Increased By ▲ 0.32 (1.89%)
SILK 1.23 Increased By ▲ 0.06 (5.13%)
TELE 10.73 Increased By ▲ 0.14 (1.32%)
TPL 9.03 Decreased By ▼ -0.10 (-1.1%)
TPLP 19.70 Decreased By ▼ -0.21 (-1.05%)
TREET 28.60 No Change ▼ 0.00 (0%)
TRG 76.25 Decreased By ▼ -0.05 (-0.07%)
UNITY 19.88 Increased By ▲ 0.03 (0.15%)
WAVES 12.80 Increased By ▲ 0.14 (1.11%)
WTL 1.37 Increased By ▲ 0.01 (0.74%)
BR100 4,057 Decreased By -34.6 (-0.85%)
BR30 14,907 Decreased By -45.7 (-0.31%)
KSE100 41,103 Decreased By -245.6 (-0.59%)
KSE30 15,635 Decreased By -101.8 (-0.65%)

LONDON: Gold prices were choppy on Tuesday as investors braced for likely hot US inflation data that would consolidate bets of aggressive measures from the Federal Reserve to tame rising pricing pressures.

Spot gold was flat at $1,953.26 per ounce, as of 0958 GMT, after hitting its highest in nearly a month on Monday. US gold futures rose 0.4% to $1,955.60.

“A higher-than-expected headline US CPI print may nudge spot gold closer to the psychologically important $2,000 level, considering bullion’s time-honoured role as an inflation hedge,” said Han Tan, chief market analyst at Exinity.

Data due later in the day is likely to show US consumer prices rose by the most in 16-1/2 years in March, which would seal the case for the Fed to raise interest rates by a hefty 50 basis points next month.

Pressuring gold slightly, the dollar held firm, supported by high US yields.

A stronger dollar makes greenback-priced gold more expensive, while higher US interest rates and yields increase the opportunity cost of holding zero-yield bullion.

“They (the Fed) can print dollars, but they can’t print commodities and economic growth in quite the way that they would like,” independent analyst Ross Norman said.

“The chance of a significant policy error in not responding quicker (to inflation) looks ever greater and that will feed into gold.”

Auto-catalyst metal palladium dropped 4% to $2,335.96, after hitting its highest since March 24 at $2,550.58 on Monday following a sale block by London markets.

Given the supply concerns, the drop in palladium was “something of an anomaly,” Norman said, adding that the real impact on the economy from cutting off key palladium and platinum refiners might take a little time to manifest after the initial knee-jerk reaction.

Spot silver dropped 0.5% to $24.96 per ounce and platinum dipped 1.6% to $961.13.

Comments

Comments are closed.