AVN 67.60 Increased By ▲ 0.50 (0.75%)
BAFL 30.99 Decreased By ▼ -0.01 (-0.03%)
BOP 4.91 Increased By ▲ 0.01 (0.2%)
CNERGY 3.74 Decreased By ▼ -0.04 (-1.06%)
DFML 14.03 Decreased By ▼ -0.40 (-2.77%)
DGKC 41.11 Decreased By ▼ -0.74 (-1.77%)
EPCL 46.58 Increased By ▲ 0.01 (0.02%)
FCCL 11.60 Decreased By ▼ -0.09 (-0.77%)
FFL 5.03 Decreased By ▼ -0.04 (-0.79%)
FLYNG 5.85 Increased By ▲ 0.05 (0.86%)
GGL 10.34 Decreased By ▼ -0.08 (-0.77%)
HUBC 68.04 Increased By ▲ 0.04 (0.06%)
HUMNL 5.74 Decreased By ▼ -0.02 (-0.35%)
KAPCO 28.02 Decreased By ▼ -0.08 (-0.28%)
KEL 2.26 Decreased By ▼ -0.03 (-1.31%)
LOTCHEM 25.02 Decreased By ▼ -0.03 (-0.12%)
MLCF 21.45 Decreased By ▼ -0.24 (-1.11%)
NETSOL 87.66 Increased By ▲ 1.66 (1.93%)
OGDC 99.30 Increased By ▲ 6.92 (7.49%)
PAEL 11.00 Decreased By ▼ -0.09 (-0.81%)
PIBTL 4.26 Increased By ▲ 0.02 (0.47%)
PPL 81.12 Increased By ▲ 0.97 (1.21%)
PRL 13.23 Decreased By ▼ -0.41 (-3.01%)
SILK 0.88 Decreased By ▼ -0.02 (-2.22%)
SNGP 43.85 Increased By ▲ 0.38 (0.87%)
TELE 6.12 Increased By ▲ 0.16 (2.68%)
TPLP 15.66 Decreased By ▼ -0.07 (-0.45%)
TRG 118.99 Increased By ▲ 3.98 (3.46%)
UNITY 14.01 Increased By ▲ 0.16 (1.16%)
WTL 1.23 Increased By ▲ 0.07 (6.03%)
BR100 4,171 Increased By 47 (1.14%)
BR30 15,253 Increased By 323.5 (2.17%)
KSE100 41,523 Increased By 332 (0.81%)
KSE30 15,663 Increased By 168.9 (1.09%)
Follow us

Gold prices hit a two-week high on Thursday, supported by a weaker dollar after US Federal Reserve Chair Jerome Powell’s speech sparked expectations of smaller interest rate hikes.

Spot gold was up 0.8% at $1,781.79 per ounce, as of 0546 GMT, after scaling a peak since Nov. 16. US gold futures climbed 1.9% to $1,793.80.

The Fed could scale back the pace of its rate hikes “as soon as December,” Powell said on Wednesday at the Brookings Institution in Washington.

The dollar index inched 0.5% lower, making gold more attractive for overseas buyers. Powell effectively confirmed that the Fed will slow its pace of tightening, prompting the dollar lower and gold higher, said City Index Analyst Matt Simpson.

Market participants now expect a 91% chance of a 50-basis-point hike in the central bank’s upcoming December meeting.

Lower rates tend to boost bullion’s appeal as it reduces the opportunity cost of holding the non-yielding asset, which ended November more than 8% higher — its biggest monthly gain since July 2020.

Investors’ attention now turns to the US Labor Department’s non-farm payrolls data due on Friday, and it is likely to influence the Fed’s policy decisions.

“A strong employment report will give Fed the green light to keep hiking whilst inflation remains high, which is bad for gold.

A weak report could be beneficial for gold as it points to lower consumer demand ahead, which is deflationary,“ added Simpson. Traders also took stock of news that top bullion consumer China is easing some COVID-related restrictions.

Gold rebounds 1% as tepid dollar offsets rate-hike fears

“If China eases its COVID measures and the economy starts to improve, physical gold demand will rise and demand for industrial metals will also pick up,” said Brian Lan, managing director at Singapore-based dealer GoldSilver Central.

Silver edged up 0.8% at $22.37, platinum rose 0.8% to $1,041.38 and palladium gained 1.5% to $1,910.00.

Comments

Comments are closed.

Gold scales 2-week high on hopes of smaller US rate hikes

FY24 budget: FBR invites proposals on income tax

AIIB chief economist briefed about state of economy

Dar inducts four new members into ‘RRMC’

Reason behind cut in PSDP disbursement identified

Rs 417bn received by KP: Cabinet decides to conduct audit

Thar coal-based power plant: COD achieved

Power breakdown of Jan 23: Senate panel directs Power Division to conduct probe

LCCI says wants ‘charter of economy’, not elections

Rs650bn collection likely: 1pc hike in ST thru ordinance on the cards

Earthquake rescue work moves slowly in Turkiye, Syria as death toll passes 5,000