Breaking News

Gold powers up to three-month high as dollar tumbles

News Date: 1/2/2016 10:18:00
Precious metals rose strongly on Monday as uncertainty returned to markets following a renewed drop in oil prices and a sharp contraction in China's manufacturing sector, which intensified worries over the world's second largest economy's resilience, and pushed western equity markets downwards. Other bleak data from Asia include a plunge in South Korea's exports to levels last seen in 2009.

Gold futures rose an impressive 11 dollars, or one percent to trade at $1,127 an ounce, the highest since early November. Silver prices also took advantage of the global sentiment, gaining eight cents, or half a percent to $14.31 an ounce.

The dollar index, which measures the greenback's performance against a basket of counterparts, skidded nearly 0.60% to 99.02, as other currency launched attacks after positive data in their respective economies. Britain's manufacturing PMI rose 52.9, handily beating expectations of 51.8, and better than December's 52.1. Sterling jumped 0.85% against the dollar after the data to 1.4362.

Oil prices took a hit from waning expectations for a previously-hoped-for deal between Russia and OPEC to cut production, combined with a global risk-avert sentiment after the weak China data. Brent crude futures plunged $1.30, or 3.58% to $34.77 a barrel, while U.S. crude futures plummeted $1.46, or 4.34% to trade at $32.26 a barrel.

Wall Street opened sharply lower, tumbling more than one percent at one point before paring some losses, with Dow Jones trading at 16,366, down a hundred points, or 0.63%. NASDAQ Composite gave up 24 points, or half a percent to 4,589. S&P 500 shed 11 points, or 0.60% to 1,928.

Latest news

After the long collapse, the American labor market is achieving some relative recovery, as the number of added jobs yesterday reached 4,800 million jobs, which exceeded all expectations, and came as
07-2020 03 00:34:55

Beginning with the latest developments in commodities, the gold futures contracts started this morning with a rise of 0.70%, to be traded at 1784.56 dollars an ounce, after opening at 1771.61 dollar
07-2020 01 03:47:05

Oil prices continued to lose their losses after the recovery in demand decreased, due to the high number of injuries they suffer, and Brent crude fell by the same percentage 2%, which in turn pays to
06-2020 29 05:49:33

The US dollar concluded its research for the week, sticking to its gains, which means that the demand remains on the latter, and this is due to it being a safe haven in light of fears and concerns ab
06-2020 26 06:34:32

The US stock indexes on Wall Street ended their trading high, thanks to the support of the economic data that led them to the rise, which showed that the contraction of the economy in the manufacturi
06-2020 24 00:45:21

More News