Forex Marketz Daily Forex News – Fully Markets Update
The price of gold futures moved higher during the Asian trade session. The bullion is near a 2 ½ week high, that it hit during the previous session. This comes after U.S. inflation came in stronger than expected as consumer prices rose last month. The dollar also weakened this morning.
As of 2 am GMT, Spot gold (XAU/USD) was up 0.1 percent to $1,351.96 an ounce. The yellow metal touched $1,355.50 on Wednesday. This was its highest price point since January 26.
The precious metal also recorded its biggest single day percentage gain of 1.6 percent, yesterday. This was its strongest gain since May 2017.
U.S. gold futures fell by 0.2 percent to $1,355 per ounce.
The U.S. dollar was slightly lower to 88.980. This come after losing 0.6 percent during the North American session.
The recovery is seen as weighing on the dollar. The dollar had recovered during the market turmoil seen earlier in the month.
Gold Traders watch Inflation Data
Consumer prices, in the United States, rose more than expected for the month of January. Americans paid more for gasoline, rental units and healthcare.
Inflation can prompt investors to buy the bullion. However, a rise in interest rates makes non yielding asset classes less attractive.
The U.S. Commerce Department said that U.S. retail sales fell 0.3 percent in January. This was the largest fall since February 2017. Households reduced purchases of autos and building materials.
In the Eurozone, industrial production was 0.4 percent, monthly, for a 5.2 percent annually. Data from the European Union’s statistics office, Eurostat, released the data on Wednesday. The data showed the fastest economic growth rate in a decade.
