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Search resuls for: "Precious Metals"


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Gold listless as traders avoid big bets ahead of Fed decision
  + stars: | 2023-07-26 | by ( ) www.cnbc.com   time to read: +2 min
Gold struggled for momentum on Wednesday as traders refrained from making big bets ahead of the U.S. Federal Reserve's policy decision later in the day. Spot gold held steady at $1,963.99 per ounce by 0546 GMT, while U.S. gold futures were up 0.1% to $1,965.20. Gold is highly sensitive to rising interest rates as they increase the opportunity cost of holding non-yielding bullion. Along with policy guidance from the European Central Bank, traders also await second-quarter U.S. GDP data due on Thursday. As per the International Monetary Fund, the bank should start preparing for future monetary tightening.
Persons: Gold, Jun Rong, Yeap Organizations: U.S, IG, Treasury, European Central Bank, PCE, Bank of Japan's, Monetary Fund Locations: Siberian, Krasnoyarsk, Russia, U.S . Federal, U.S, Asia, Japan
As the S & P 500 's year-to-date rally nears 20%, some investors have questioned whether stocks could be nearing a tipping point. Here's what Citi, TS Lombard and the Wells Fargo Investment Institute advise. More gains to come for U.S. stocks: Citi Citi in a July 23 note said that while in the early months of 2023, the bull market was "very narrow," it believes markets could recover more broadly soon. The bank added that real yields could reach 4% above inflation over the next five years, "therefore, buying bonds in lieu of cash is advisable." Buying bonds would allow investors to lock in today's bond yields, but real yields would rise if inflation falls.
Persons: VIX, Wells, Lombard Organizations: Federal, Citi, TS Lombard, Wells, Investment Institute, Citi Citi, Citi Research, Wells Fargo Wells Fargo Investment Institute Locations: U.S, Wells Fargo Wells Fargo, Brazil, Mexico, India
Fundstrat said a bitcoin ETF from BlackRock could drive a boost in daily demand for the crypto token. If the SEC approves a bitcoin ETF from BlackRock, it could lead to the largest ETF launch ever. A bitcoin ETF could add an extra $100 million in incremental daily demand for bitcoin, according to the note. "This [bitcoin ETF launch] would bring daily demand to $125 million, while daily supply is only $25 million. "We anticipate [a bitcoin ETF] would attract new investors and generate increased demand for bitcoin," Farrell said.
Persons: Fundstrat, halvening, Sean Farrell, Farrell Organizations: SEC, ETF, Service, bitcoin, BlackRock, Fidelity, Chartered Locations: BlackRock, Wall, Silicon
Gold prices tick up as traders await Fed cues
  + stars: | 2023-07-18 | by ( ) www.cnbc.com   time to read: +2 min
Gold bars of different sizes lie in a safe on a table at the precious metals dealer Pro Aurum. Spot gold rose 0.3% to $1,959.54 per ounce by 0359 GMT. While the upcoming Fed meeting might temporarily dim the appeal of gold, "the Fed is closer to end of tightening cycle," said OCBC Executive Director and FX Strategist Christopher Wong. "We also favor long gold as a risk-off hedge (safe haven proxy) against slowing global growth or any risk-off market event," Wong added. Investors will also watch for U.S. retail sales data for June later in the day while weak Chinese economic data released the previous day continued to weigh on sentiment.
Persons: Christopher Wong, Wong, Janet Yellen Organizations: Aurum, U.S, U.S . Federal, Bloomberg TV, European Central Bank, Bank of England, Reserve Bank of Australia's Locations: United States, U.S ., U.S
As in previous years, the world of investments has continued to see several frauds and scandals come to light in 2023. Some of the more peculiar cases involved missing silver coins, untraceable crypto, and bags filled with stones instead of nickel. Blockchain analytics firm Chainalyis has sounded the alarm on a possible inside-job by members of staff – linking the disappearance of its founder with the missing coins. London Metal Exchange-approved contracts are regarded as the gold standard for metal investors and this mix-up called the security of the prestigious market into question. Read more: Over half a million silver coins just vanished – now the metals dealer behind the 'fraudulent' scheme must pay $146 million
Persons: Robert Leroy Higgins, Higgins, Multichain, Read Organizations: Service, Eagle, Asset, Depository Company, CFTC, JPMorgan, London Metal Exchange Locations: Wall, Silicon, Rotterdam, Netherlands
Spot gold was up 0.1% to $1,959.79 per ounce by 0241 GMT, hitting its highest since June 16. Therefore, a lot of focus remains on the central bank's next rate-setting meeting, which could dictate near-term gold prices, said Brian Lan of Singapore dealer GoldSilver Central. Recent hawkish comments from policymakers have weighed on gold, with bullion down more than $100 since its May highs. Among other precious metals, spot silver rose 0.3% to $24.2163 per ounce and palladium advanced 0.7% to $1,292.19. Reporting by Arundhati Sarkar in Bengaluru; Editing by Rashmi Aich and Sohini GoswamiOur Standards: The Thomson Reuters Trust Principles.
Persons: Silver, Brian Lan, Lan, Price, Arundhati Sarkar, Rashmi Aich, Sohini Organizations: Federal Reserve, GoldSilver, Thomson Locations: Brian Lan of Singapore, Bengaluru
Gold prices hovered near 1-month highs on Thursday as the dollar and Treasury yields fell on expectations the U.S. Federal Reserve could end its rate-hike cycle soon. Spot gold was up 0.1% at $1,958.16 per ounce by 11:50 a.m. EDT (1550 GMT), after hitting its highest since June 16. U.S. gold futures rose 0.2% to $1,964.60. "After yesterday's data, we saw a strong rally in the gold market. This comes a day after data showed that U.S. consumer prices rose modestly in June, registering their smallest annual increase in more than two years.
Persons: Phillip Streible, Commerzbank Organizations: Aurum, Treasury, . Federal, Blue, Federal, Market Locations: Chicago
Gold rises on softer dollar, yields ahead of U.S. inflation data
  + stars: | 2023-07-12 | by ( ) www.cnbc.com   time to read: +2 min
Gold prices rose on Wednesday after the dollar and bond yields retreated as investors awaited U.S. inflation data that could offer more cues on the Federal Reserve's rate-hike policy path. Spot gold rose 0.4% to $1,939.43 per ounce by 0518 GMT, its highest since June 20. U.S. gold futures rose 0.4% to $1,944.90. Economists polled by Reuters expect June core inflation rate to have dropped to 5% from 5.3%, still significantly above the Fed's 2% target. In the wider base metals market, prices rose, supported by a weaker dollar, although a gloomy demand outlook loomed over the market.
Persons: Jun Rong, Barot Organizations: Pro Aurum, Treasury, CPI, IG, Reuters, Metals Focus, greenback
Spot gold held its ground at $1,926.19 per ounce by 0231 GMT. The dollar (.DXY) was near a two-month low on prospects of lower rates, while benchmark U.S. yields hovered near Monday's lows at 4.0018%. A weaker dollar makes gold cheaper for holders of foreign currencies. "As we've become accustomed to inflation decelerating, an upside surprise would spark the most volatile reaction and weigh on gold. Gold bulls need inflation to behave to justify a bullish breakout," Simpson added.
Persons: Matt Simpson, we've, Simpson, Seher, Sherry Jacob, Phillips Organizations: Index, U.S, Investors, U.S . CPI, Consumer, Thomson Locations: Wednesday's U.S, China, Bengaluru
Gold flat on doubts over U.S. rate hike trajectory
  + stars: | 2023-07-10 | by ( ) www.cnbc.com   time to read: +2 min
Gold and silver bars of various sizes lie in a safe on a table at the precious metals dealer Pro Aurum in Munich. Gold prices were little changed on Monday after U.S. jobs data last week cast doubts over the labor market's strength, prompting investors to be more skeptical of the Federal Reserve's rate hike trajectory. Spot gold was steady at $1,923.62 per ounce by 0347 GMT. Data on Friday showed COMEX gold speculators raised their net long position by 12,733 contracts to 99,205 in the week ended July 3. In other precious metals, spot silver was steady at $23.05 per ounce, platinum fell 0.1% to $907.34 and palladium eased 0.4% to $1,238.86.
Persons: Nicholas Frappell Organizations: Aurum, Labor, ABC Refinery, U.S, West, Trust Locations: Munich, U.S, U.S . Federal, Russia
FUNDAMENTALS* Spot gold was up 0.1% at $1,925.49 per ounce by 0104 GMT. * An increasing number of countries are repatriating gold reserves as protection against the sort of sanctions imposed by the West on Russia, according to an Invesco survey of central bank and sovereign wealth funds published on Monday. * SPDR Gold Trust , the world's largest gold-backed exchange-traded fund, said its holdings fell 0.3% on Friday. * Data on Friday showed COMEX gold speculators raised net long position by 12,733 contracts to 99,205 in week ended July 3. * In other precious metals, spot silver gained 0.1% to $23.09, platinum added 0.4% to $911.40, and palladium climbed 0.2% to $1,246.86.
Persons: Janet Yellen, Swati Verma, Sherry Jacob, Phillips Organizations: Labor, . Treasury, West, Trust, Thomson Locations: U.S, Beijing, Russia
Compounding worries that this would lead to a more hawkish central bank, Federal Reserve Bank of Dallas President Lorie Logan said on Thursday that a continued above-target inflation outlook and a stronger-than-expected labor market "calls for more-restrictive monetary policy." U.S. Treasury yields climbed after the labor market data boosted expectations for aggressive Fed rate hikes to rein in stubbornly high inflation. Emerging market stocks (.MSCIEF) lost 1.88%. In Treasuries 2-year Treasury yields rose above 5% for the first time since early March and touched their highest levels since June 2007. In currencies, the dollar index fell 0.048%, with the euro up 0.13% at $1.0865.
Persons: Lorie Logan, Alex Coffey, Coffey, Sterling, Janet Yellen, Matt Simpson, Brent, Sinéad Carew, Marc Jones, Clarence Fernandez, Hugh Lawson, Richard Chang Organizations: ADP, The Labor Department, Federal Reserve Bank, Dallas, Treasury, U.S, Dow Jones, Nasdaq, Japan's Nikkei, Reuters Graphics Reuters Graphics CHIPPING, Reuters, Thomson Locations: U.S, Asia, Pacific, Japan, United States, Europe, China, Beijing, New York, London
Gold trades in narrow range as markets wait for Fed minutes
  + stars: | 2023-07-05 | by ( ) www.cnbc.com   time to read: +2 min
Gold and silver bars of various sizes lie in a safe on a table at the precious metals dealer Pro Aurum. Gold stuck to a narrow range on Wednesday as investors awaited the release of the U.S. Federal Reserve's latest monetary policy meeting minutes later in the day, with a stronger dollar also weighing on prices. Spot gold was little changed at $1,923.66 per ounce by 0243 GMT, while U.S. gold futures rose 0.1% to $1,931.20. "Fed minutes are likely to reveal a lively debate where still more rate hikes are to come. High interest rates discourage investing in non-yielding gold, which is otherwise seen as a safe investment amid economic uncertainties.
Persons: Gold, Clifford Bennett, Bennett Organizations: Aurum, U.S, U.S . Federal, ACY Securities Locations: U.S ., United States, China
A precious metals dealer has been asked to pay up $146 million in damages after over half a million silver coins went missing. Robert Higgins ran a "fraudulent and deceptive scheme" linked to the purchase and sale of precious metals, the CFTC said. From 2014 to 2022, Higgins led a 'fraudulent silver leasing program' that took deposits from almost 200 customers. Higgins ran a "fraudulent and deceptive scheme", and was ordered to pay $113 million to clients and $33 million in penalties, according to the CFTC. The precious metals industry has seen a series of scams in recent times.
Persons: Robert Higgins, Higgins, , Prateek Gupta Organizations: Service, Commodities Futures Trading Commission, Asset, Depository Company, US Treasury, London Metal Exchange Locations: Delaware, Rotterdam, Singapore
Gold listless as investors wait for Fed's June meeting minutes
  + stars: | 2023-07-04 | by ( ) www.cnbc.com   time to read: +2 min
Bars of gold are seen at Krastsvetmet, one of the world's largest producers of precious metals, in Moscow, January 31, 2023. Spot gold was little changed at $1,921.39 per ounce by 0241 GMT, while U.S. gold futures were flat at $1,929.10. High interest rates discourage investment in non-yielding gold. Markets will also watch for minutes of the June 13 to14 FOMC meeting being released on Wednesday. While gold prices could recover to $1,940 before a potential drop lower, "the rates background remains a significant drag," Frappell added.
Persons: Nicholas Frappell, Frappell, Masato Kanda Organizations: U.S, ABC Refinery, Investors, Reserve Bank of Locations: Moscow, U.S, U.S . Federal
UK economic growth unrevised at 0.1% in first quarter of 2023
  + stars: | 2023-06-30 | by ( ) www.reuters.com   time to read: +2 min
REUTERS/Henry Nicholls/File PhotoLONDON, June 30 (Reuters) - Britain's economy grew 0.1% in the first quarter of this year, unrevised from an initial estimate published last month, figures from the Office for National Statistics (ONS) showed on Friday. "The final Q1 2023 GDP data confirms that the economy steered clear of a recession at the start of 2023. Friday's figures showed that households' real disposable income was 0.8% smaller than the previous quarter, reflecting higher costs for electricity, gas and food. There were also signs that people were saving less in response to the increased cost of living, as the savings ratio fell to 8.7% in the first quarter from 9.4% in the quarter before, its lowest level since the second quarter of 2022 though well above its pre-pandemic average. Stripping out volatile trade in precious metals, the ONS's preferred measure, the underlying current account deficit narrowed to 2.6% of GDP from 3.3% of GDP in the final quarter of 2022.
Persons: Henry Nicholls, Ashley Webb, David Milliken, Andy Bruce, Sarah Young Organizations: REUTERS, Office, National Statistics, ONS, Capital Economics, Thomson Locations: London, Britain, Germany, Ukraine
LONDON/NEW YORK/HONG KONG (Reuters) -For hedge funds, the second half of 2023 is all about pouncing on the ways in which inflation, aggressive rate hikes and decarbonisation are shaping the economy. Five prominent funds shared their ideas using five different asset classes to trade on this uncertainty. The ideas do not represent recommendations or trading positions, which hedge funds cannot reveal for regulatory reasons. 1/ UBS O’CONNOR* Alternatives platform, with both hedge funds and credit* Size: $9.5 billion* Established in 2000* Key trade: Long so-called “busted” convertible bonds, or hybrid securities where the stock trades below its option conversion price. Seminara favored long positions in investment grade bonds and shorting high yield ones via the iTraxx Europe and iTraxx crossover indices.
Persons: Brendan McDermid, Casey Talbot, Alpha, ” Talbot, Byron Gill, Howard Smith, Anastasia Tarasova, Tarasova, Andrea Seminara, , Seminara, CRAWFORD, ERIC STURDZA, Eric Sturdza, Chris Crawford, Biden, “ They’re, Crawford Organizations: Reuters, Traders, New York Stock Exchange, REUTERS, UBS, UBS O’Connor, Companies, Indus Capital Partners, Capital, Federal, Redhedge, Asset Management, European Central Bank, ECB, Eric Sturdza Investments, Fund Management, Crawford Fund Management Locations: HONG KONG, New York City, U.S, Asia, Ukraine, Europe
Gold hovers near mid-March low on dollar strength, hawkish Fed
  + stars: | 2023-06-29 | by ( ) www.cnbc.com   time to read: +1 min
Gold prices lingered near a Mid-March low on Thursday, dragged down by a stronger dollar and hawkish comments from U.S. Federal Reserve Chair Jerome Powell. Spot gold fell 0.1% to $1,906.17 per ounce, near a mid-March low hit on Wednesday. Powell's hawkish remarks reinforced interest rates going higher for longer, with a higher opportunity cost of holding gold dimming the appeal of gold, said OCBC FX strategist Christopher Wong. Powell suggested another two rate hikes to the Fed funds target rate were likely, and he did not see inflation abating to the 2% target until 2025. Asian shares were subdued on the premise of higher interest rates, while the Japanese yen and the Chinese yuan struggled to lift from lows amid fears of official intervention.
Persons: Jerome Powell, Christopher Wong, Powell Organizations: Aurum, U.S . Federal, Reuters Locations: Munich, U.S, .
Gold prices edge higher as tepid dollar lifts appeal
  + stars: | 2023-06-26 | by ( ) www.cnbc.com   time to read: +2 min
Gold prices edged higher on a weaker dollar, although bullion hovered close to three-month lows as traders assessed prospects that more interest rate hikes by the U.S. Federal Reserve were in the offing. Spot gold rose 0.2% to $1,925.78 per ounce by 0341 GMT. Bullion slumped nearly 2% in the previous week as hawkish comments from Fed officials suggested more rate hikes to bring down sticky inflation. Higher interest rates make non-yielding gold less appealing. San Francisco Fed Bank President Mary Daly said on Friday two more rate hikes this year are a "very reasonable" projection.
Persons: Bullion, Christopher Wong, Mary Daly, Wong Organizations: U.S . Federal, San Francisco Fed Bank, P Global Locations: Moscow, Russia
Gold flat as markets await Powell's testimony for rate cues
  + stars: | 2023-06-21 | by ( ) www.cnbc.com   time to read: +2 min
Gold prices moved in a tight range on Wednesday after two-straight sessions of declines, as investors refrained from making large bets ahead of U.S. Federal Reserve Chairman Jerome Powell's congressional testimony. Spot gold held its ground at $1,936.03 per ounce by 0504 GMT. In this light, Chairman Powell's testimony could have a major short-term impact on the market," said Clifford Bennett, chief economist at ACY Securities. "For the moment gold is under the great interest rate threat hammer, but the very real on-going strong jewelry and manufacturing demand should eventually win the day," Bennett added. Among other precious metals, spot silver fell 0.4% to $23.0973 per ounce, platinum shed 0.6% to $957.16, and palladium lost 0.3% to $1,375.37.
Persons: Jerome, Powell's, Clifford Bennett, Powell, Bennett, Michael Langford Organizations: U.S . Federal, ACY Securities, U.S . House Financial, Federal Reserve, Traders, U.S ., Scorpion Minerals Locations: U.S, Washington, Asia
The 60/40 portfolio doesn't work anymore, according to Bank of America. If the 60/40 portfolio was on life support last year, this year its demise is now "confirmed," Woodard wrote. Bonds require 40% of the assets in a 60/40 portfolio but have delivered only 25% of the returns since 1920, he noted. Weak bond returns will lead to "another lost decade" for the 60/40 portfolio, in Woodard's words. For income, Bank of America's researchers unveiled a strategy called "dynamic prudent yield" that promises to beat bond indexes while carrying less risk.
Persons: Bonds, Jared Woodard, Woodard, Woodward, Schwab Organizations: Bank of America, Bank of, RSP, Vanguard, Energy, P Metals, Mining, Uranium, Research, Government Bond ETF, First Trust, Income, Muni Bond ETF, Muni, Blackstone Senior Loan, of America, Bond, SPDR Bloomberg Convertible Securities ETF, US, iShares, Securities ETF, VanEck Preferred Securities, Financials, Bloomberg, Treasury Bond ETF, Treasury
Gold listless as investors hunt for Fed rate clues
  + stars: | 2023-06-20 | by ( ) www.cnbc.com   time to read: +2 min
Spot gold held its ground at $1,949.59 per ounce by 0248 GMT, while U.S. gold futures fell 0.5% to $1,961.20. "Gold prices seem exhausted lately, as intermittent bounces over the past month have failed to find much follow-through ... Investors are now focusing on Powell's congressional testimony on Wednesday and Thursday for further guidance on interest rates following the Fed's hawkish pause on monetary policy tightening last week. Although gold is considered a hedge against inflation, interest rate hikes raise the opportunity cost of holding non-yielding bullion. Additionally, the European Central Bank should raise interest rates again in July as inflation risks are skewed towards higher outcomes, Slovakia's central bank chief said on Monday, while the Bank of England is expected to raise rates by another 25 basis points on Thursday.
Persons: Jerome Powell, Yeap Jun Rong, IG's, Rong Organizations: U.S . Federal, Investors, Fed, U.S ., European Central Bank, Bank of England Locations: China
Yen sags to 15-year low vs euro after BOJ rate decision
  + stars: | 2023-06-16 | by ( ) www.cnbc.com   time to read: +2 min
Yen, euro and U.S. dollar banknotes of various denominations. The yen plunged to a 15-year low against the euro on Friday after the Bank of Japan (BOJ) kept its ultra-low interest rate policy and forecast that inflation will slow later this year, in contrast with the European Central Bank's (ECB) rate hike on Thursday. As widely expected, the BOJ maintained its -0.1% short-term rate target and a 0% cap on the 10-year bond yield set under its yield curve control (YCC) policy. The yen fell broadly following the decision and hit a fresh 15-year low of 155.22 per euro . The euro was flat against the greenback at $1.0940 after earlier touching a five-week high, having surged over 1% on Thursday following the rate hike and forward ECB guidance.
Persons: Kazuo Ueda, Erik Bregar, Christine Lagarde Organizations: U.S, Bank of Japan, European, Bank's, Bank of, Bull, Bank of England Locations: Bank of Japan, Toronto
Gold slips to three-month low as Fed rate cues lift dollar
  + stars: | 2023-06-15 | by ( ) www.cnbc.com   time to read: +1 min
Bars of gold are seen at Krastsvetmet, one of the world's largest producers of precious metals, in Moscow, January 31, 2023. Gold slipped to a near three-month low on Thursday as the dollar and Treasury yields advanced after the U.S. Federal Reserve signaled more interest rate hikes this year. Spot gold fell 0.4% to $1,935.99 per ounce, hitting its lowest since March 17. Traders are now pricing in a roughly 72% chance of a Fed rate hike in July, according to the CME Fedwatch tool. "(The) Fed has more or less given the market a direction," said Brian Lan, of Singapore dealer GoldSilver Central.
Persons: Gold, Tim Waterer, Brian Lan, Suki Cooper Organizations: Treasury, U.S . Federal Reserve, Fed, KCM Trade, Traders, GoldSilver Central, The U.S, European Central Bank Locations: Moscow, Singapore, The, U.S
Gold rises as dollar weakens ahead of Fed decision
  + stars: | 2023-06-14 | by ( ) www.cnbc.com   time to read: +2 min
Gold prices edged higher on Wednesday, helped by a softer dollar as slowing U.S. inflation cemented bets that the Federal Reserve would keep interest rates unchanged later in the day. Spot gold rose 0.3% to $1,948.49 per ounce by 05:00 GMT. Markets are pricing in a roughly 90% chance of the Fed keeping rates unchanged, according to CME's Fedwatch tool. While gold is seen as a hedge against inflation, higher rates to tame price pressures generally weigh on the non-yielding asset's appeal. Spot silver climbed 0.7% to $23.8439 per ounce, platinum rose 0.3% to $979.37, while palladium was flat at $1,361.01.
Persons: Clifford Bennett, " Bennett, Nicholas Frappell Organizations: Federal Reserve, U.S, ACY Securities, Fed, ABC Refinery Locations: Siberian, Krasnoyarsk, Russia, U.S
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