Market news
05.12.2013, 16:20

Gold: an overview of the market situation

Gold prices dropped significantly , losing more than 1.5 percent, as today's events have forced many investors to reconsider their views on the program of quantitative easing, the Fed . Even despite the fact that the European Central Bank and Bank of England opposed the introduction of new monetary measures , the markets have been fixated on U.S. economic data and waited at least some signals about when the Fed may begin to reduce its purchase program bonds.

Data published by the Ministry of Commerce showed that the U.S. economy in the third quarter rose more than previously reported, due to the very large growth stocks since the beginning of 1998 consumer spending growth has stalled . In annual terms, GDP growth in the third quarter was 3.6 %, above the previously reported 2.8%. This is the highest growth in the first quarter of 2012 . The median estimate of economists was 3.1%. Ratings were within 2.2% -3.6 %. Third , the final estimate of GDP growth in the third quarter will be released on December 20. Recall that in the second quarter , GDP grew by 2.5% in the first - 1.1%.

Another report showed that the number of initial claims for unemployment benefits fell by 23,000 and amounted to a seasonally adjusted 298,000 in the week ended November 30. Economists had forecast 322,000 new claims . Value for the previous week was revised up to 321,000 from 316,000 initially sounded . The four-week moving average of claims , which smooths the volatile weekly data , fell to 322,250 . Analyst Ministry of Labour stated that there were no unusual factors affecting the final report . Although he noted that such holidays as Veterans Day and Thanksgiving - that do not always fall in the same week of the month - may complicate the seasonal adjustments. Since seasonal factors create some volatility in the numbers , economists warn against to attach great importance to data on unemployment in November and December.

Given these positive data , the head of the Federal Reserve Bank of Atlanta's Lockhart said that the question of reducing the rate of asset purchases may take place in December or on other upcoming policy meeting of the Federal Reserve System. Lockhart was careful in his statements , and said nothing about the fact whether he supports reducing QE at the next meeting on December 17-18 . Lockhart said he would " wait for evidence of momentum in the economy , as well as the absence of factors that may limit or even overshadow the progress."

Also today it was announced that the gold reserves in the SPDR Gold Trust fell by 2.70 tonnes yesterday - up to 838.71 million tonnes ( the lowest level since the beginning of 2009)

The cost of the December gold futures on the COMEX today dropped to $ 1223.90 per ounce.

© 2000-2024. All rights reserved.

This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).

The information on this website is for informational purposes only and does not constitute any investment advice.

The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.

AML Website Summary

Risk Disclosure

Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.

Privacy Policy

Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.

Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.

Bank
transfers
Feedback
Live Chat E-mail
Up
Choose your language / location