AGL 40.00 No Change ▼ 0.00 (0%)
AIRLINK 132.66 Increased By ▲ 3.13 (2.42%)
BOP 6.89 Increased By ▲ 0.21 (3.14%)
CNERGY 4.57 Decreased By ▼ -0.06 (-1.3%)
DCL 8.92 Decreased By ▼ -0.02 (-0.22%)
DFML 42.75 Increased By ▲ 1.06 (2.54%)
DGKC 84.00 Increased By ▲ 0.23 (0.27%)
FCCL 32.90 Increased By ▲ 0.13 (0.4%)
FFBL 77.06 Increased By ▲ 1.59 (2.11%)
FFL 12.20 Increased By ▲ 0.73 (6.36%)
HUBC 110.01 Decreased By ▼ -0.54 (-0.49%)
HUMNL 14.40 Decreased By ▼ -0.16 (-1.1%)
KEL 5.53 Increased By ▲ 0.14 (2.6%)
KOSM 8.32 Decreased By ▼ -0.08 (-0.95%)
MLCF 39.67 Decreased By ▼ -0.12 (-0.3%)
NBP 65.50 Increased By ▲ 5.21 (8.64%)
OGDC 198.74 Decreased By ▼ -0.92 (-0.46%)
PAEL 26.00 Decreased By ▼ -0.65 (-2.44%)
PIBTL 7.62 Decreased By ▼ -0.04 (-0.52%)
PPL 159.00 Increased By ▲ 1.08 (0.68%)
PRL 26.24 Decreased By ▼ -0.49 (-1.83%)
PTC 18.35 Decreased By ▼ -0.11 (-0.6%)
SEARL 82.24 Decreased By ▼ -0.20 (-0.24%)
TELE 8.12 Decreased By ▼ -0.19 (-2.29%)
TOMCL 34.40 Decreased By ▼ -0.11 (-0.32%)
TPLP 8.98 Decreased By ▼ -0.08 (-0.88%)
TREET 16.88 Decreased By ▼ -0.59 (-3.38%)
TRG 59.49 Decreased By ▼ -1.83 (-2.98%)
UNITY 27.52 Increased By ▲ 0.09 (0.33%)
WTL 1.40 Increased By ▲ 0.02 (1.45%)
BR100 10,614 Increased By 206.9 (1.99%)
BR30 31,874 Increased By 160.5 (0.51%)
KSE100 98,972 Increased By 1644 (1.69%)
KSE30 30,784 Increased By 591.7 (1.96%)

Gold fell on Monday after strong US economic data boosted investor risk sentiment, while uncertainty continued about the Federal Reserve's interest rates path. Spot gold eased 0.2 percent to $1,220.86 an ounce by 1333 GMT, while US gold for June delivery slipped $1.40 to $1,222 an ounce. Spot prices saw their biggest quarterly rise in nearly 30 years in the three months to March, rallying more than 16 percent on speculation the Fed was not in a hurry to normalise interest rates, but drifted back towards the key $1,200 level after hawkish comments from several Fed officials.
The US central bank raised rates in December for the first time in nearly a decade. "The Fed is still concerned about the global economic growth and the pace of interest rates increases will be gradual," ETF Securities' strategist Edith Southammakosane said.
"The FOMC minutes this Wednesday could provide a better idea of when the Fed plans the next rate hike." The minutes from the Fed's March 15 to 16 Federal Open Market Committee meeting will be released on Wednesday. The metal is highly exposed to rising rates, which lift the opportunity cost of holding non-yielding assets, while boosting the dollar.
"Gold market participants appear to put more weight on the strength of the US economic data and what that will mean for the Fed's rate decisions," Commerzbank analyst Daniel Briesemann said. Data on Friday showed non-farm payrolls rose by 215,000 last month, higher than expectations of 205,000, underscoring the strength in the US economy.
US interest rate futures suggested traders are now betting the Fed will next raise rates as soon as November, versus December ahead of the report. Wall Street's top banks held firm to their expectation for a rate hike in June, according to a Reuters survey conducted on Friday.
In the near term, support for gold sits around $1,215 and below this at $1,210, MKS Group said in a note. Investor positioning in gold is largely bullish. Hedge funds and money managers boosted their bullish bet in gold in the week to March 29, to the highest since the end of 2012, US Commodity Futures Trading Commission data showed on Friday. Assets in SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, fell 0.15 percent to 818.09 tonnes on Friday, but remain near the highest in over two years. Silver gained 0.1 percent to $15.04, platinum slipped 0.2 percent to $952.25 and palladium fell 1.3 percent to $560.75.

Copyright Reuters, 2016

Comments

Comments are closed.