Bengaluru — Gold prices hit a one-week high on Wednesday and inched closer to the key $1,200 level as the dollar remained weak on US President Donald Trump’s criticism of the Federal Reserve and ahead of minutes from the central bank’s August meeting. Trump’s reiteration on Monday of displeasure with rising interest rates has weighed on the dollar, ahead of the release of the Fed’s minutes later on Wednesday and its annual economic symposium at Jackson Hole, Wyoming on Friday. "Trump’s comments have certainly put a dampener on the dollar," said Sydney-based ANZ analyst Daniel Hynes. "This especially ahead of the Jackson Hole symposium is an issue, which the investors are clearly focussed on." Gold is highly sensitive to rising US interest rates as it increases the opportunity cost of holding non-yielding metal while boosting the dollar. Spot gold was largely unchanged at $1,195.68/oz at 2.27am GMT, after touching $1,197.66, its highest level since August 14. US gold futures rose 0.2...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.