Economy

Gold in holding pattern ahead of Fed rate decision

Gold in holding pattern ahead of Fed rate decision

Gold traded within a range on Wednesday after hitting the lowest in almost five months in the previous session, with investors in a holding pattern ahead of the outcome of a two-day meeting of the US Federal Reserve.

Spot gold was up 0.2 percent at $1,249.47 an ounce at 1235 GMT, while USA gold futures for February delivery were up $3.60 an ounce at $1,252.00.

As the metal provides no yield and investors have to rely on price appreciation for returns, the price of gold has a strong inverse correlation to interest rates.

Hedge funds upped gross short positions - bets that gold can be bought back at a lower price in future - three-fold, also the biggest jump since the government began collecting the data in 2006.

As well as an interest rate decision, the Federal Open Market Committee is expected on Wednesday to reveal an update to the summary of economic projections, which could offer clues on monetary policy.

More news: Securities Analyst Recommendations: Roku, Inc. (ROKU), Eldorado Gold Corporation (EGO)

The market is also looking forward to the Federal Reserve's guidance for 2018.

Globally, gold edged up 0.09 per cent to Dollars 1,249.30 an ounce and silver by 0.03 per cent to USD 15.82 an ounce in Singapore. That compares to September's high of 26.5 million ounces when gold was hitting its 2017 peak above $1,350 an ounce.

Among other metals, March silver declined by 0.7% to $15.67 an ounce, after losing around 3.5% last week.

Platinum was up 0.1 percent at $888.80 an ounce, after touching its lowest since February 2016 last week.


  • Manchester City eye record against Swansea

    Manchester City eye record against Swansea

    Federico Fernandez is back in contention after being involved in the matchday squad against West Bromwich Albion over the weekend. Wayne Routledge is Swansea's only injury doubt for the game on Wednesday, according to Swans boss Paul Clement .
    Borce Ristevski to contest murder charge

    Borce Ristevski to contest murder charge

    The couple share one daughter - Sarah, 22 - who has been spending much of her time in Asia since her mothers death past year . He said the auto hit a bump in the road and the problem fixed itself, so he turned around and went home.
    Do any Republicans oppose the FCC's net neutrality vote? This one does

    Do any Republicans oppose the FCC's net neutrality vote? This one does

    USU's internet connections, Internet2 and Utah Education Network, have yet to release a statement regarding the upcoming FCC vote. If you have to pay to keep up with Facebook, Google or whatever the incumbent competition is, startups can't pay for that.
  • Israeli PM urges approval of Jerusalem decision

    Israeli PM urges approval of Jerusalem decision

    While Trump says his decision will help bring about a two-state solution, critics say that prospect is dead. Embassy in Beirut in response to President Trump's decision to recognize Jerusalem as Israel's capital.
    Galaxy S9 Planning a More Secure Iris Scanner

    Galaxy S9 Planning a More Secure Iris Scanner

    We know it's coming from a top 5 OEM, which narrows down our options to companies like Samsung and Huawei. Now, Synaptics has revealed its own fingerprint sensor that can reside under a display.
    Cubs sign Drew Smyly to a two-year, $10 million contract

    Cubs sign Drew Smyly to a two-year, $10 million contract

    It came two years after being acquired from Detroit in the 2014 trade deadline deal that sent David Price to the Tigers. Smyly comes over to the Cubs after a 2017 he'd probably like to forget, one which injury was his only story to tell.
  • Trump tells NASA to return American astronauts to Moon

    Trump tells NASA to return American astronauts to Moon

    Trump described his directive as a "giant step toward that inspiring future" and toward reclaiming America's proud destiny in space.
    Fossil Proves Ticks Feasted on Dinosaurs 100 Million Years Ago

    Fossil Proves Ticks Feasted on Dinosaurs 100 Million Years Ago

    The new discovery, made by an global team of researchers, leaves scientists with little doubt about ancient ticks' blood-sucking ways.
    Top Puerto Rico Tourism Official: Island Is

    Top Puerto Rico Tourism Official: Island Is "Open for Tourism"

    Pesquera said , the medical examiner includes deaths caused indirectly by storms, such as suicides. It's based in part on the experiences of US states following damaging storms on the mainland.
  • Schlumberger LTD (SLB) Share Price Declined While Wellcome Trust LTD Upped Holding

    Howe And Rusling has invested 0.01% in Schlumberger Limited (NYSE: SLB ). (NASDAQ:MDCA) on Monday, October 16 with "Buy" rating. Tdam Usa Inc increased Citizens Finl Group Inc (NYSE:CFG) stake by 16,616 shares to 228,175 valued at $8.13 million in 2017Q2.
    New Angel Shohei Ohtani Has a Damaged UCL in Pitching Elbow

    New Angel Shohei Ohtani Has a Damaged UCL in Pitching Elbow

    But those numbers don't indicate the incredible potential seen in Ohtani, whose fastball has been clocked at 102 miles per hour . For the time being, it appears the Angels will push forward with Ohtani as a pitcher first and outfielder second.
    North Korea yet to express

    North Korea yet to express "commitment" to dialogue, says United Nations official

    Feltman emphasised the need for the full implementation of all relevant Security Council resolutions. North Korea claimed that there are no human rights abuses in the regime.