Safe-haven gold on track for weekly gain
Fri Oct 25 2024
Gold prices steadied on Friday but were headed for a weekly gain, driven by safe-haven demand due to escalating geopolitical concerns, while palladium lingered near a 10-month high.
FUNDAMENTALS
* Spot gold was little changed at $2,733.63 per ounce by 00:18 GMT. Prices hit a record high of $2,758.37 on Wednesday and were up 0.5% so far in the week.
* U.S. gold futures fell 0.1% to $2,746.3.
* Israel's military said on Thursday it killed a Hamas commander who took part in the Oct. 7, 2023, assault on southern Israel and also worked for the U.N. aid agency in the Gaza Strip.
* Uncertainty was also high ahead of U.S. Election Day on Nov. 5, with polls showing a tight race between Donald Trump and Kamala Harris.
* A widening U.S. fiscal deficit is a growing concern, Scope Ratings said.
* Gold is seen as a safe asset during economic and political uncertainty. It also thrives in a low interest rate environment.
* New applications for U.S. unemployment aid unexpectedly fell last week, but the number of people collecting benefits in mid-October was the highest in nearly three years, indicating it was becoming harder for those losing jobs to land new positions.
* Markets are pricing in a 96.9% chance for a cut of 25 basis points at the U.S. Federal Reserve's November meeting, according to CME's FedWatch Tool.
* The United States asked the Group of Seven allies to consider sanctions on Russian palladium and titanium, Bloomberg News reported.
* Russia's Nornickel is the world's largest palladium producer.
* Palladium rose 0.4% to $1,162, having surged as much as 9.4% in the previous session to its highest level since December 2023. It is set to record its best week in seven.
* Russia is in talks with other BRICS members about creating an international precious metals exchange to ensure fair pricing and trade growth, the country's Finance Minister Anton Siluanov said in a statement on Thursday.
* Spot silver fell 0.2% to $33.63 per ounce, Platinum rose 0.04% at $1,026.70.
Source: http://in.reuters.com