Gold firms despite gains in the dollar and a rally in markets
Stock markets rallied as US President Donald trump sounded upbeat about a trade deal with China
Bengaluru — Gold prices firmed on Wednesday, as expectations of fewer rates hikes in the US partially offset gains in the dollar and a rally in stock markets on hopes of a thaw in US-China trade relations. Spot gold was up 0.1% at $1,244.51 per ounce at 10.50am, while US gold futures rose 0.2% to $1,249.90 per ounce. "The fact that we are seeing some risk coming back to the market: the stocks are climbing, the dollar is up and the yen is weaker, does remove some of the demand in gold. But overall, it's holding relatively well but is missing a spark to move higher," said Saxo Bank analyst Ole Hansen. The dollar rose for a third consecutive day as US treasury yields rose ahead of a US federal open market committee (FOMC) meeting next week, while stock markets rallied as US President Donald trump sounded upbeat about a trade deal with China. "Next week's FOMC meeting is going to be the last major economic event of the year. The [gold] market has started to price in the 'one and done' i...
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