FOX LIVE NEWS UPDATE
PRECIOUS-Gold edges up; market eyes China-U.S. trade talks, Fed minutes
May 23 (Reuters) – Gold prices rose slightly on Wednesday amid a firm dollar and uncertainty over the outcome of U.S.-China trade talks, while investors waited for minutes from the Federal Reserve’s meeting for clues on the outlook for U.S. interest rates.
Spot gold XAU= was up 0.1 percent at $1,292.56 per ounce, as of 0329 GMT.
U.S. gold futures GCcv1 for June delivery were unchanged at $1,291.90 per ounce.
“We were quite steady this morning, but are running out of steam with dollar being quite firm,” a Hong Kong-based trader said.
“We want to see what FOMC minutes have in store for us… I think (investors) are looking at anything out of the ordinary that could raise the market,” the trader said.
The dollar inched higher versus a basket of currencies .DXY on Wednesday, with investors awaiting minutes of the Federal Reserve’s last policy meeting due later in the day for hints on the pace of further U.S. monetary tightening. USD/
At the previous policy meeting in May, the U.S. central bank expressed confidence in the economy and kept its benchmark lending rate unchanged and said inflation was near the bank’s target, leaving it on track to raise borrowing costs in June. markets will shift to the FOMC minutes for inflation updates as any suggestion that the Feds do see a pick-up beyond their 2 percent target could be interpreted bullishly for gold, which should find support as an inflation hedge, Stephen Innes, APAC trading head at OANDA said in a note.
for contact:
8006006296/ 8006707020
www.foxcommodities.co