Business News Asia
Gold Futures Close Up $6.8 as Dollar Weakens, Expects Fed to Slow Down Interest Rates
Gold futures closed for a fourth straight day on Tuesday, January 24th, with markets still buoyed by expectations that the Federal Reserve (Fed) will slowdown a rate hike at its weekly meeting. In addition, the dollar’s depreciation is also a positive factor for the gold market.
- Gold futures rose by $6.8, or 0.35%, to close at $1,935.4 per ounce.
- Silver futures also rose by 19.5 cents, or 0.83%, to close at $23.749 per ounce.
- Platinum futures increased by $10.5, or 0.99%, to close at $1,066.8 per ounce.
- Palladium futures went up by $34.10, or 2%, to settle at $1,735.50 per ounce.
The dollar’s depreciation makes gold contracts, priced in dollars, cheaper for investors holding other currencies. The dollar index, against a basket of six major currencies, was down 0.19% at 101.9150 overnight.
The gold market still has positive factors from the expectation that the Fed will raise interest rates by just 0.25% at its Jan. 31-Feb. meeting.
Analysts at Bank of America expect gold prices to surpass $2,000 per ounce in the coming months. This was driven by the Fed’s slowdown in raising interest rates, which in turn will lead to a weak dollar and lower US Treasury yields.
The Spot Market is Open
Wednesday, January 25, 2023
| Metals Updated at | USD Bid/Ask | Ounce Change | Low/high |
| Gold 12.40 | 1,927.20 1,928.20 | -10.20 -0.53% | 1,925.70 1,940.30 |
| Silver 12.40 | 23.50 23.59 | -0.17 -070% | 23.47 23.81 |
| Platinum 12.40 | 1,050.00 1,060.00 | -6.00 -0.57% | 1,049.00 1,066.00 |
| Palladium 12.20 | 1,656.00 1,806.00 | -19.00 -1.13% | 1,656.00 1,822.00 |
| Rhodium 06.00 | 11,000.00 13,000.00 | 0.00 0.00% | 11,000.00 13,000.00 |
