Friday 22 Nov 2024
By
main news image

BENGALURU (Nov 4): Gold prices held steady on Monday, as investors prepared for a crucial week for the global economy, marked by the US presidential election and the likelihood of further interest rate cuts.

Spot gold edged up by 0.1% to US$2,738.29 (RM11,979.48) per ounce, as of 0012 GMT. Bullion hit a record high of US$2,790.15 on Thursday.

US gold futures were flat at US$2,747.50.

With Tuesday's US presidential election looming, opinion polls reveal a tight contest between Democratic candidate Kamala Harris and Republican Donald Trump, which could significantly influence bullion prices.

This week, market participants will pay close attention to the US Federal Reserve's interest rate cut decision and remarks from US Fed chair Jerome Powell and other Fed officials.

Currently, traders anticipate a 98% chance of a quarter-basis-point Fed rate cut this week, the CME FedWatch tool showed.

Gold is considered a safe investment during economic and geopolitical turmoil due to its ability to store value; it thrives in a low interest rate environment.

Data on Friday showed that US jobs growth nearly stalled in October, as strikes in the aerospace industry reduced manufacturing jobs and hurricanes shortened the payroll collection period.

On the physical front, gold demand in India jumped last week amid festival purchases, although volumes were lower than usual due to record-high prices. 

SPDR Gold Trust, the world's largest gold-backed exchange-traded fund said its holdings fell 0.35% to 888.63 tonnes on Friday.

Spot silver rose 0.4% to US$32.5443 per ounce, platinum edged down by 0.1% to US$991.72, and palladium added nearly 1% to US$1,108.36.

Uploaded by Liza Shireen Koshy

      Print
      Text Size
      Share