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Gold prices gained Tuesday, offsetting the bulk of losses from the previous session, as the dollar weakened following monthly data on US inflation, as investors took note of the outcome of the vote of the British legislators on the plan of the Prime Minister Theresa May, announced after the closing. for ingots.
Matt Stroud, a spokesperson for the CME group, said that a "technical problem" had resulted in the publication of some regulations relating to metals and energy later than usual.
Late Tuesday, Prime Minister May lost the vote on his revised Brexit deal, as expected, by a margin of 149 votes, despite last-minute concessions from the European Union on the divorce agreement Brexit Monday.
Gold for delivery in April
GCJ9, + 0.62%
increased $ 7, or 0.5%, to $ 1,298.10 an ounce after losing 0.6% on Monday. In e-commerce after the settlement, gold futures reached peaks above US $ 1,302, slightly higher after the vote on Brexit.
Can
SIK9, + 0.56%
finished at 13.9 cents, or 0.9%, higher at $ 15.413 an ounce.
May will face a second vote on Wednesday, the Parliament wondering if he was in favor of a Brexit without agreement before the deadline to officially leave the EU on March 29.
The pound
GBPUSD, + 0.6119%
volatile exchanges throughout the session, while the ICE US Index
DXY, -0.09%
a measure of the US currency against six major rivals, decreased by 0.3%. The reaction of both currencies was moderate, traders generally taking into account the result.
See: Here's the next step for Brexit and the British Pound
The dollar fell faster soon after the data reveals that the US consumer price index rose 0.2% in February, which is in line with market expectations, while the cost of living has risen. still slowed down from 1.6% to 1.5%.
A fundamental reading of inflation, eliminating the volatility of food and energy prices, edged up 0.1%, the smallest increase since August. The annual increase in the so-called base rate also slowed the trend to 2.1%. Gold tends to be considered a hedge against inflation, with moderate inflation readings providing little ammunition to the gold bugs.
But given the data, "it seems like the Fed can support the real economy by being patient and leaving interest rates unchanged for a potentially protracted period," said economist Paul Ashworth. American chef at Capital Economics.
This softer dollar helped support gold, analysts said. A cheaper dollar can have a positive effect on commodities listed in the greenback by making them cheaper for users of other currencies.
The consequences of the vote on the Brexit could set the tone for gold. A win for May could boost global appetite for risky assets, which would likely put further pressure on gold, said Commerzbank commodities researcher Eugen Weinberg in a statement. note.
Trade in other metals, April platinum
PLJ9, + 0.94%
increased by $ 15.10, or 1.9%, to $ 831.90 an ounce, while June palladium
PAM9, + 0.56%
added $ 8, or 0.5%, to $ 1,490 ounce. High quality copper for May
HGK9, -0.12%
rose 2.75 cents to $ 2.929 per pound, up 0.3%.
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Of the exchange-traded funds, SPDR Gold shares
GLD, + 0.61%
slightly up 0.6% and VanEck Vectors Gold Miners
GDX, + 1.75%
added 1.6%.
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