Gold Trades Near Three-Week High as Investors Look to U.S. Databy
Gold traded near the highest level in three weeks as investors look to U.S. data for further clues on how the Federal Reserve will proceed on monetary policy.
Bullion for immediate delivery added as much as 0.2 percent to $1,260.06 an ounce, the highest since March 22, and traded at $1,258.26 at 3:29 p.m. in Singapore, according to Bloomberg generic pricing.
Gold has rallied in 2016 as investors scaled back projections for U.S. rate rises, hurting the greenback. Lower rates are a boon for gold, which becomes more competitive against interest-bearing assets. Reports this week will show U.S. retail sales and consumer-price inflation both increased in March, according to forecasts from economists, who’ll also track weekly jobless claims.
“The gold price is still quite sensitive to the U.S. data,” Golf Hirunyasiri, managing director of Bangkok-based MTS Gold Group, said by phone. “This week we have to wait and see the core retail sales and unemployment claims. You’re seeing quite choppy trading in gold.”
- Bullion of 99.99 percent purity on the Shanghai Gold Exchange traded 0.1 percent higher at 261.15 yuan a gram ($1,255.90 an ounce).
- Spot silver added 0.1 percent and palladium rose 1.2 percent, while platinum climbed 0.3 percent.