PRECIOUS-Gold slips below $1,900/oz as dollar stems declines
(Recasts, adds analyst comments, updates prices)
* Silver up 1.5% this week
* Dollar set to fall about 0.8% for the week
* Interactive graphic tracking global spread of coronavirus: https://graphics.reuters.com/world-coronavirus-tracker-and-maps/
By Asha Sistla
Oct 23 (Reuters) - Gold eased on Friday as the dollar recouped some losses, but uncertainty going into the Nov. 3 U.S. elections limited bullion's losses.
Spot gold fell 0.4% to $1,896.66 per ounce by 10:57 a.m. ET (1457 GMT), U.S. gold futures fell 0.3% to $1,898.10.
"Gold's moves are really mirroring the dollar at this point," said Tai Wong, head of base and precious metals derivatives trading at BMO, adding gold is in a "restive" $1,890-$1,930 range with any dips to the bottom of the range being lapped up.
"The initial pop in gold (and slightly lower dollar) was due to the results of the last presidential debate not likely to make a difference in the election outcome, with (Democratic candidate Joe) Biden comfortably ahead."
Denting appeal for greenback-denominated bullion, the dollar index pared some of its losses. [USD/]
More than 50 million Americans have cast ballots with 11 days to go in the campaign.
"Gold still remains stuck in its stimulus limbo range. Stimulus optimism faded after National Economic Council Director (Larry) Kudlow noted that negotiations still have policy and numerical disagreements," Edward Moya, senior market analyst at OANDA, said in a note.
Bullion has gained about 25% so far this year given its status as an inflation hedge amid unprecedented pandemic-driven stimulus globally.
"Gold's fate will be determined on Election Day, a blue wave signals huge stimulus and hello $2000, while a Biden victory with the Republicans keeping the Senate suggests a slower grind higher," Moya said.
Kudlow on Thursday said talks were continuing on a possible aid deal but that larger policy differences with Democrats were unlikely to be resolved with the election less than two weeks away.
Silver dipped 1.1% to $24.49 per ounce but was set for a weekly rise. Platinum gained 2.7% to $908.81 and palladium fell 0.2% to $2,368.73. (Reporting by Arpan Varghese and Asha Sistla in Bengaluru; editing by Jonathan Oatis) ((Asha.Sistla@thomsonreuters.com; If within U.S. +1 646 223 8780; outside U.S. +91 80 6182 2808; Reuters Messaging: Reuters Messaging: firstname.lastname@example.org)) Keywords: GLOBAL PRECIOUS/ (UPDATE 6, PIX)
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Latest Markets Videos
- White House says Walmart, FedEx, UPS to work 24/7 to ease supply bottlenecks for holiday season
- Chinese online brokers Futu and UP Fintech face regulatory risks - People's Daily website
- September, Third Quarter 2021 Review and Outlook
- PRECIOUS-Gold eases as inflation data fans policy tightening bets