Gold was steady with a slight downside bias on Thursday morning in London, facing headwinds from a rising dollar and falling oil prices.
– The spot gold price was last at $1,241.70/1,242 per ounce, little changed from the previous close. Trade has ranged from $1,229.0 to $1,244.2 so far.
– “After a string of gains since late March, gold prices fell. Liquidation was prompted by a rally in equities, a strong performance by the USD, and higher US bond yields,” HSBC analyst James Steel noted. “Good China export data kicked off a global equity rally, which undermined gold. Against this bearish cocktail, bullion had little choice but to go lower,” he added.
– After reaching a new 2016 high this week amid increased expectations of a production-freeze deal between Russia and Saudi Arabia, crude oil prices are now settling back on profit-taking, which has exerted some downward pressure on gold, FastMarkets’ Boris Mikanikrezai noted.
– In the other precious metals, silver was also steady at $16.13/16.15 per ounce. Platinum at $989/994 was down $5 and palladium was unchanged at $538/544.
(Editing by Mark Shaw)
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Source: Bullion Desk News
