Advertisement
Canada markets closed
  • S&P/TSX

    22,167.03
    +59.95 (+0.27%)
     
  • S&P 500

    5,254.35
    +5.86 (+0.11%)
     
  • DOW

    39,807.37
    +47.29 (+0.12%)
     
  • CAD/USD

    0.7382
    +0.0010 (+0.13%)
     
  • CRUDE OIL

    83.03
    +1.68 (+2.07%)
     
  • Bitcoin CAD

    95,990.31
    +2,866.00 (+3.08%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • GOLD FUTURES

    2,241.10
    +28.40 (+1.28%)
     
  • RUSSELL 2000

    2,121.61
    +7.26 (+0.34%)
     
  • 10-Yr Bond

    4.2060
    +0.0100 (+0.24%)
     
  • NASDAQ

    16,379.46
    -20.06 (-0.12%)
     
  • VOLATILITY

    13.05
    +0.27 (+2.11%)
     
  • FTSE

    7,952.62
    +20.64 (+0.26%)
     
  • NIKKEI 225

    40,168.07
    -594.66 (-1.46%)
     
  • CAD/EUR

    0.6841
    +0.0036 (+0.53%)
     

Gold Prices Up in Asia As Trending Weaker Dollar Aids Sentiment

Gold gains in Asia
Gold gains in Asia

Investing.com - Gold prices gained in Asia on Wednesday with a weaker dolalr helping demand for the precious metal priced int he US currency.

Gold futures for February delivery on the Comex division of the New York Mercantile Exchange rose 0.51% to $1,343.90 a troy ounce.

Overnight, gold prices traded roughly unchanged on Tuesday, shrugging off a rebound in the dollar from three-year lows as data showed traders remained bullish on the precious metal despite the uptick in demand for risker assets.

Gold prices remained close to four-month highs amid ongoing demand for the yellow metal as data showed traders increased their bullish bets on gold for the fourth-straight week.

ADVERTISEMENT

Speculative net long position in gold rose by 40,000 contracts to a net long 203,300 contracts, a six-week high, according to the most recent Commitment of Traders (COT) report.

Gold’s strong start to the year comes against continued risk-on sentiment as global equities extended their gains from 2017, rising to all-time highs. Some market participants, however, said they expected the yellow metal to range trade in 2018 amid expectations of additional Federal Reserve rate hikes this year.

In a rising interest rate environment, investor appetite for gold weakens as the opportunity cost of holding the precious metal increases relative to other interest-bearing assets such as bonds.

Related Articles

Oil prices edge up on tighter supplies, healthy demand

Exclusive: Mexico's Pemex chose Japan's Mitsui to complete Tula coking plant - sources

Oil prices drop off three-year highs but strong demand supports