Forex Marketz Daily Forex News – Fully Markets Update
Gold futures fell this morning during Asian trade hours. They hit their lowest price point since July 2017, an 18 month low. This comes despite economic unrest in Turkey. The dollar is seeing capital inflows, which is taking away from the bullion. The dollar index is trading close to a 13 month high.
As of 1:10 am GMT, the widely traded spot gold future contract (XAU/USD) was down. This contract lost 0.1 percent to trade at $1,192.11 an ounce.
The bullion, in the spot contract, hit its lowest price point since late January 2017, overnight, at $1,190.77 an ounce.
Front end U.S. gold futures also fell this morning. They shed 0.1 percent, as well, to trade at $1,199.1 an ounce.
Gold Traders Listen to Turkish Comments from Erdogan
Turkish President Tayyip Erdogan said that Ankara will boycott electronic products from the United States. This is in retaliation and a result of an ongoing disagreement with the United States. This rhetoric has driven his currency to record lows.
Looking at economic data, out of the United State, July import prices were flat. The rise in the cost of fuel offset weak prices in other categories. The strong dollar is reigning in inflation.
Second quarter Euro zone growth was better than expected. This is an indication that the negative effects of global trade tensions will be seen in later 2018.
The Chinese government is going ahead with a plan to invest billions of dollars in infrastructure projects. This is to support a cooling economy. Investment growth has slowed to a record low as consumers are becoming more and more cautious.
