💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

PRECIOUS-Gold holds up on weak equities, platinum near 7-yr low

Published 19/01/2016, 12:00 pm
© Reuters.  PRECIOUS-Gold holds up on weak equities, platinum near 7-yr low
XAU/USD
-
GC
-
HG
-
CL
-
PL
-

MANILA, Jan 19 (Reuters) - Gold steadied in early deals on Tuesday as weaker stock and oil prices pushed investors towards safe-haven assets, but slow physical demand in Asia kept bullion under $1,100 an ounce.

FUNDAMENTALS

* Spot gold XAU= was little changed at $1,089.20 an ounce by 0035 GMT, after a lethargic session on Monday with U.S. markets shut for the Martin Luther King holiday.

* U.S. gold for February delivery GCcv1 slipped 0.2 percent to $1,088.90 an ounce.

* Weak physical demand from top gold consumers China and India has limited gold's upside potential, with Chinese consumer spending dented by its slowing economy.

* China will release its gross domestic product data for the last quarter of 2015 and the past year this morning and economists polled by Reuters show the world's No. 2 economy grew 6.9 percent last year, its slowest in a quarter of a century.

* Amid concerns over the fate of the global economy, platinum XPT= hit a session low of $814.50 an ounce, just off Monday's trough of $812.95, its lowest since December 2008.

* The second tranche of India's sovereign gold bonds, whose sale began on Monday, is likely to draw a good response from investors as pricing is below market rates for the metal. Gold mining companies are running a charm offensive with their biggest shareholders on the thorny issue of executive pay, keen to hold on to investors angry about ongoing generous compensation after four years of dire stock returns. The chief executive of Freeport McMoRan Inc's FCX.N Indonesian unit, Maroef Sjamsuddin, has resigned for "personal reasons", less than a month after the chairman of the U.S. mining giant stepped down. Freeport runs one of the world's largest copper and gold mines in Indonesia. For the top stories on metals and other news, click TOP/MTL or GOL

MARKET NEWS

* Asian stocks were subdued following a retreat in European shares overnight, while crude oil prices remained bearish following the lifting of sanctions against major producer Iran. MKTS/GLOB

* Major currencies were on hold as investors readied for key Chinese economic data as worries about the global economic outlook deepen and oil prices show scant signs of life. USD/

DATA AHEAD (GMT)

0200 China

GDP

Q4

0200 China

Industrial output

Dec

0200 China

Retail sales

Dec

0200 China

Urban investment

Dec

0900 Euro zone

Current account

Nov

1000 Germany

ZEW economic sentiment

Jan

1000 Euro zone

Inflation final

Dec

1500 U.S.

NAHB housing market index

Jan

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.