Gold inches up on US uncertainty

Gold inches up on US uncertainty

Gold prices rose by 50 baht per baht-weight at 9.13am on Saturday.

The Gold Traders Association announced the buying price at 18,950 baht and the selling price at 19,050 baht per baht-weight for gold bars.

The buying price for gold ornaments was 18,677.12 baht per baht-weight while their selling price was 19,450 baht.

The prices were unchanged on Friday after they shed 150 baht per baht weight in total in four adjustments on Thursday.  

In world markets, Bloomberg reported from New York on Saturday that gold futures rose for the second straight day as weaker US consumer confidence added to concerns that the economy is slowing, boosting demand for the precious metal as a haven.

The Thomson Reuters/University of Michigan preliminary sentiment index decreased to 93.6 from a final January reading of 98.1 that was the highest since the start of 2004, figures showed on Friday. A report on Thursday revealed that sales at US retailers fell more than forecast in January.

Gold dropped 29% in the previous two years, posting consecutive annual losses for the first time since 1998. Faster US expansion prompted some investors to lose faith in the metal as a store of value amid speculation that the Federal Reserve would raise interest rates. Prices rebounded 8% in January as slowing foreign economies cast doubt that American growth would remain resilient.

“Anything that helps push back on the Fed rate-increase is helpful to gold,” George Gero, a precious-metal strategist at RBC Capital Markets in New York, said in a telephone interview.

Gold futures for April delivery climbed 0.5% to settle at $1,227.10 an ounce at 1.38pm on the Comex in New York. On Friday, the price rose 0.1%.

This week, the price dropped 0.6%, the third straight decline, Bloomberg said.

[Most Recent Quotes from www.kitco.com]

Do you like the content of this article?
COMMENT (1)