Global Stock Markets
Gold prices fell on Thursday after the Federal Reserve left interest
rates unchanged but hinted at hikes later this year, and as investors
awaited the U.S. nonfarm payroll data for cues on the health of the
world's largest economy.
Spot gold was down 0.4 percent at $1,339.71 perounce, as of 0831 GMT. It touched $1,332.30 an ounce in the previous session, its lowest since Jan. 23.
U.S. gold futures for February delivery were nearlyflat at $1,339.00 per ounce.
The Fed said inflation is likely to quicken this year, bolstering expectations borrowing costs will continue to climb under incoming central bank chief Jerome Powell.
The dollar held steady against a basket of major currencies on Thursday after the Fed signaled its confidence about inflation and growth in the United States' economy, reinforcing views it will raise rates several more times this year.
Inflation worries generally boost gold, which is seen as a safe-haven against rising prices.
But expectations that the Fed will raise interest rates to fight inflation make gold less attractive because it does not pay interest.
A stronger dollar makes bullion more expensive for holders of other currencies, while higher interest rates lead to higher bond yields and dampen demand for non-yielding gold. Traders now await the jobs report on Friday that will include data on nonfarm payrolls to see if they offer more than a brief respite to the ailing dollar.
Spot gold is biased to break a resistance at $1,347 per ounce and rise towards the next one at $1,357, as it has stabilized around a support at $1,335.
In other precious metals, silver slipped 0.4 percent to $17.25 per ounce. Platinum declined 0.9 percent to$991.00 per ounce.
Palladium edged 0.8 percent lower to $1,019.50 perounce after falling to $1,013.72 earlier in the session, its lowest since Dec. 18.
Spot gold was down 0.4 percent at $1,339.71 perounce, as of 0831 GMT. It touched $1,332.30 an ounce in the previous session, its lowest since Jan. 23.
U.S. gold futures for February delivery were nearlyflat at $1,339.00 per ounce.
The Fed said inflation is likely to quicken this year, bolstering expectations borrowing costs will continue to climb under incoming central bank chief Jerome Powell.
The dollar held steady against a basket of major currencies on Thursday after the Fed signaled its confidence about inflation and growth in the United States' economy, reinforcing views it will raise rates several more times this year.
Inflation worries generally boost gold, which is seen as a safe-haven against rising prices.
But expectations that the Fed will raise interest rates to fight inflation make gold less attractive because it does not pay interest.
A stronger dollar makes bullion more expensive for holders of other currencies, while higher interest rates lead to higher bond yields and dampen demand for non-yielding gold. Traders now await the jobs report on Friday that will include data on nonfarm payrolls to see if they offer more than a brief respite to the ailing dollar.
Spot gold is biased to break a resistance at $1,347 per ounce and rise towards the next one at $1,357, as it has stabilized around a support at $1,335.
In other precious metals, silver slipped 0.4 percent to $17.25 per ounce. Platinum declined 0.9 percent to$991.00 per ounce.
Palladium edged 0.8 percent lower to $1,019.50 perounce after falling to $1,013.72 earlier in the session, its lowest since Dec. 18.
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