PT Equityworld-Gold prices rose in late trade Wednesday a.m. (7/10) and the decline of the power of the US dollar but the US presidential election concerns and a rise in U.S. interest rates in December the US hold the advantage of gold further and could depress the price being low.
The price of spot gold rose LLG 0.5 percent on $ 1, 262.88 per ounce. While U.S. gold futures price rose 0.5 percent and ended at $ 262.90 per ounce, 1.
The U.S. currency retreated from a high seven months against a basket of currencies, making the dollar denomination gold cheaper for holders of other currencies.
But the dollar’s losses may not survive if the expectations The Fed will raise U.S. interest rates in December reinforced by economic data over the coming months. According to CME Group FedWatch program, the likelihood of a rate hike interest rates Fed the US in December of about 70 percent.
U.S. presidential election took place on November 8, which based on the RealClearPolitics national poll average shows Clinton currently leads the Donald Trump 7.1 percent higher, at 46 percent to surpass 38.9 percent.
Traders said the US election polls were counterbalanced by increased interest to the investors in the Exchange physical gold-backed ETF.
Overall ownership of gold in ETFS in 57,433,000 ons are up more than 2 percent since the September 15.
While silver prices rose more than 1 percent at $ 17.60 an ounce and Palladium rose $ 0.2 per cent in 638,50.
Platinum rose 0.8 per cent to $ 945. Touching the lowest level in seven months at $ 923 on Monday.
Platinum and palladium are under pressure from a weak Rand South Africa
against the dollar. South Africa is the world’s largest producer of platinum and the second-largest producer of Palladium. When rand falling production costs are calculated in dollars down well.
Analyst Equity Research Center estimated oil price of gold on the next trade could potentially go up with the decline of the US dollar. The price is estimated to be moving in the range of $ 1.265 Resistance-$ 1.267, whereas if prices fall will move in a range of Support $ 1.261-$ 1.259