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Gold prices were stable on Wednesday, with a stronger dollar restraining prices as investors feared the lengthy US debt ceiling negotiations.
The gold spot rose 0.1% to $1,991.35 an ounce by 0455 GMT. US gold futures were little changed at $1,995.20.
Gold well-supported by a price drop below $2,000, a safe haven as the debt ceiling “long process and pent-up market dissatisfaction hurt sentiment” Money could flow into gold as a result, Tim said. Waterler, chief market analyst at KCM Trade, said:
US President Joe Biden and top Republican Kevin McCarthy close to victory handle to avoid Looming U.S. Debt DefaultThe threat of an economic nightmare has forced Biden to drop his policy. asia travel this week.
Gold bullion fell from $2,000 levels on Tuesday. US retail sales The Fed’s hawkish remarks and official He added that the rate cut could be delayed.
On the other hand, rival safe-haven dollar remained strong on the day, making gold less attractive to foreign buyers. Higher interest rates also dampen the appeal of non-yielding bullion.
“Any anti-inflation rhetoric from Fed officials between now and the June meeting,” Waterler said, “would keep the gold price from rising.” , he added.
Traders are now pricing in an 82.1% chance that the U.S. central bank will hold interest rates in June, according to the Times. CME FedWatch Tool.
Separately, the resolution of the debt crisis will temporarily sell gold, but in the event of default, “we don’t know how much gold will rise,” said Clifford Bennett, chief economist at ACY Securities. rice field.
Physical silver rose 0.1% to $23.76 an ounce after hitting a six-week low in the previous session.
Platinum rose 0.6% to $1,063.71 and palladium rose 0.3% to $1,505.93.
