The Magazine for Asian Investors
The year is coming to an end and the New Year’s celebrations are just around the corner, which could attract people to the gold market this year. Gold futures rose last night (Dec. 7) as investors keep an eye on the November U.S. consumer price index. Plus next week’s Fed, ECB, and BoE meetings.
- Gold futures were up $5.2, or 0.29%, at $1,784.7 per ounce.
- Silver futures were up 26 cents, or 1.17%, at $22.523 an ounce.
- The platinum contract was up $13.6, or 1.45%, to close at $950 per ounce.
- The palladium futures were up $1.40, or 0.1%, at $1847an ounce.
The yield on 10-year U.S. Treasury bonds remains in focus, rising to 1.450%, while the yield on 30-year Treasury bonds rose to 1.763%.
However, the gold contract was boosted by investors buying gold before the turn of the year and by pressure to buy safe assets. In addition, non-farm payroll productivity fell to -5.2% QoQ.
Attention now turns to the monetary policy meeting of the world’s three largest central banks next week. While the Fed will hold its meeting on December 14 and 15, the ECB and the BoE will meet on December 16.
On Friday, the US will publish the consumer price index (CPI) for November. This is the information that investors pay particular attention to because the CPI is a measure of consumer price inflation. If this turns out to be higher than analysts expect, this could be a factor that causes the Fed to reconsider interest rates more quickly.
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Wednesday, December 8, 2021