The price of gold was ticking lower Friday morning amid a firm U.S. dollar, with stimulus expectations from global central banks supporting gold price.
Gold for December delivery, the most actively traded contract, slipped $8.10 to $1,612.10 an ounce. Yesterday, gold ended higher after inflation data from China fueled hopes of further quantitative easing. Inflation in China eased for a fourth straight month to reach a 30-month low in July, paving way for the policymakers to go ahead with stimulus measures to counter a slowdown in economic growth.
Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, were unchanged at 1,254.94 tons.
Meanwhile, the U.S. dollar was hovering near a weekly high versus the euro and the Swiss franc, while trading higher against sterling and little changed versus the yen.
In economic news from the euro zone, Germany's EU harmonized inflation came in below the preliminary estimates In July, final data released by the Federal Statistical Office showed. The harmonized index of consumer prices measured under the EU methodology, increased 1.9 percent annually in July, slightly slower than the 2 percent gain estimated earlier. In June, the inflation rate was 2 percent.
The prices of silver and platinum were ticking lower in morning deals.
From the U.S. the export & import price indexes for July are due out at 8:30 am ET. The consensus estimates call for a 0.2 percent month-over-month decline in import prices and a 0.1 percent decline in export prices. In June, import prices and export prices were down 2.7 percent and 1.7 percent, respectively.
by RTT Staff Writer
For comments and feedback: editorial@rttnews.com
Market Analysis