Gold Rebounds As Yields Dip On Dovish Fed Comments
(RTTNews) - Gold prices rebounded on Thursday, after having touched a one-week low in the previous session.
Spot gold climbed 1.3 percent to $4,157.85 an ounce while U.S. gold futures were up 1.7 percent at $4,176.
The U.S. dollar retreated from an 18-month high after San Francisco Fed president Mary Daly signaled Wednesday that the U.S. central bank will likely need to raise short-term interest rates further to address inflation, adding there's no need to do so at the October 27-28 meeting.
Traders now see a nearly 35 percent chance the Fed will raise borrowing costs at its next meeting later this month, up from the 22 percent probability seen a day earlier, according to the CME FedWatch tool.
Eurozone government bond yields slipped, tracking an overnight decline in U.S. Treasury yields.
Brent crude futures fell more than 2 percent below $104 a barrel after reports emerged that the Trump administration is contemplating relaxing sanctions on certain oil tankers transporting oil from Russia, Venezuela and Iran in order to alleviate the global tanker capacity crunch exacerbated by ongoing conflicts in the Persian Gulf.
After U.S. CPI data surprised to the upside, investors now await the release of U.S. producer price inflation and retail sales data as well as speeches from Fed officials, including Chair Kevin Warsh later in the day for additional clues on the Fed's next move.
U.S. Dollar Advances As Concerns Of Rate Hike Due To Possible Higher Inflation Increase
Canadian Market Remains Weak Despite Coming Off Early Lows
Swiss Market Ends Moderately Lower
European Stocks Close Lower On Earnings, Weak Economic Data
U.S. Consumer Sentiment Deteriorates Far Less Than Previously Estimated In October
Bay Street Look Headed For Weak Start
Eurozone Private Sector Growth At 4-Month Low
