Gold prices fall, yet set for a weekly gain

  • by Ofeed Team
  • November 1, 2019, 16:1 AM
  • 66 Views
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Gold prices fell slightly during Friday’s trading, but are heading for gains for a second week in a row, ahead of the announcement of U.S non-farm payrolls data.

As of 07:35 GMT, spot gold hovered around $1,512.15 an ounce. The precious metal hit the highest level today at $1,514.26 while the lowest level was recorded at $1481.31.

This week, the Fed decided to cut the interest rate by 25 basis points at a level of 1.50 percent to 1.75 percent, where the cut was the third in a row since last July's meeting, with a total us interest rate cut this year of 75 basis points.

However, the U.S. central bank has hinted that it may temporarily halt us interest rate cuts from now on, but some traders are still predicting another rate cut in December.

On the trade front, there is uncertainty that the United States and China will be heading to sign the initial trade deal this month, following the cancellation of the IPIC summit in Chile, which was due to sign the interim agreement.

As Bloomberg press reports revealed that Chinese officials have doubts about the possibility of long-term comprehensive solutions with the United States on a common trade war.

However, U.S President Donald Trump confirmed that the venue for the signing of the first phase of the trade deal will be decided soon, "after the cancellation of the IPIC summit in Chile due to external circumstances."

Eyes will focus on the U.S. non-farm employment report data, final manufacturing PMI data, as well as construction spending data are due to be released later today.

American employers probably created 90,000 jobs in October, following a job0creation pace of 136,000 in September, the NFP may show.

The dollar index, which measures the currency's performance against six major currencies, fell for a fifth straight session to 97.00.

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