Gold faces worst month since June 2018

02 December 2019 | Sakenuus
Gold prices gained on Friday as markets awaited further developments on US China trade talks after Beijing said it would retaliate against Washington for passing a law in support of Hong Kong protesters.

However, the metal was on track for its biggest monthly decline since June 2018.

Spot gold was up 0.4% at US$1 463.59 an ounce as of 1856 GMT. It has shed around 3.3% in November. US gold futures settled 0.6% higher at US$1 470.20 per ounce.

China warned on Thursday it would take "firm counter measures" in response to US legislation backing anti-government protesters in Hong Kong.

"[The signing of the bill] takes another step back at the possibility of a trade agreement with China, which really upset them quite a bit. That is why we saw equities come off and goldpush up," said Phillip Streible, senior commodities strategist at RJO Futures.

Investors have been optimistic about an imminent "phase-one" trade deal between the world's two largest economies, lifting world stocks to record levels and dampening demand for safe haven assets such as bullion.

Gold, a hedge during times of financial or political uncertainty, pays no interest or dividends and costs money to store and insure.

However, gold prices were still on track for their best year since 2010, having gained 13.5% so far in 2019. Uncertainties surrounding the long-drawn trade war and recessionary fears have provided support.

‘Bargain hunting’

"Gold has managed to hold above US$1 450 since there is some bargain hunting. This is a good entry level for the ones who missed out previously," said UBS commodity analyst Giovanni Staunovo.

Investors are closely watching US data for signs on the health of the world's largest economy, which could influence the US Federal Reserve in its decision on further monetary easing.

Reduced expectations of further interest rate cuts by the Fed has weighed on spot gold prices, RJO Futures' Streible added. "We could go down to US$1 425 by the end of the year."

Among other precious metals, silver gained 0.8% at US$17.01 an ounce. Platinum dropped 0.7% to US$895.25 in the session, but extended gains for a third straight week. Palladium was steady at US$1 840.52 per ounce. The autocatalyst metal notched a fresh high of US$1 844.50 earlier in the session and was on track for a fourth consecutive monthly gain. – Nampa/Reuters

Soortgelyk

 

Destined to inspire

3 dae gelede | Mense

Ester KamatiSem Mandela Uutoni’s desire for community development manifests itself in his work and is what drove him to pursue a bachelor’s degree in regional...

Make education your New Year’s resolution in 2020

3 dae gelede | Mense

Albin JacobsWith the holiday season drawing to a close it is time to focus on the new year, 2020. Almost everyone makes some kind of...

Dankbare dorre aarde

3 dae gelede | In beeld

“Die Karasberge in die Karasburg-distrik het onlangs vir die eerste keer in vier jaar reën gekry,” sê NP Esterhuyse, wat dié pragfoto geneem het.

Groot kanonne hoor kiessaak

3 dae gelede | Howe

Denver Kisting – Alle oë is vandag op Namibië se hoogste hof, die hooggeregshof, waar die land se heel eerste onafhanklike presidensiële kandidaat dié hof...

Katrina hoor gou oor appèl

3 dae gelede | Howe

Denver Kisting – Die voormalige minister van onderwys, kuns en kultuur, me. Katrina Hanse-Himarwa, sal eersdaags hoor of haar aansoek om verlof tot appèl geslaag...

Fearless manager - Game of Phones

3 dae gelede | Mense

Michelline NawatisesLeandro van Wyk, call centre manager at MultiChoice Namibia, started his career in the banking industry in 2001 as a back-office ledgers clerk, after...

Connecting clients to the correct networks

3 dae gelede | Mense

Ester Kamati With internet connection, there is no stopping Macveren Kapukare, a telecommunication engineering graduate who is passionate about making a difference in the world...

Oudonderwyser sit steeds

3 dae gelede | Howe

Denver Kisting - Die 69-jarige man, wat sedert verlede naweek op Rehoboth in polisieaanhouding is weens beweerde verkragting, se formele aansoek om borgtog het nie...

Aandag alle bruidspare!

3 dae gelede | Gebeure

Republikein se Bruidspaar van die Jaar-kompetisie skop weer vandag af. Paartjies wat tussen 1 Maart 2019 en 29 Februarie 2020 getroud is, kan vir vanjaar...