Friday, October 13, 2017

Gold price back over $1300 less than a week after Chinese markets back online

On Oct. 13, the gold price regained $1300 per ounce for the first time since the end of September, and less than a week following China's Golden Week where the majority of their markets were offline for the holiday.



Additionally, U.S. data and inflation fears began driving prices up on Thursday, leading to Friday's move over $1300 and setting the foundation for even higher prices going into the end of the year.
Gold futures pushed above the key $1,300 level Friday after a reading on U.S. inflation came in cooler than expected, raising uncertainty about the pace of U.S. interest-rate hikes by the Federal Reserve. 
December gold GCZ7, +0.44% tacked on $5, or 0.4%, to $1,301.50 an ounce, set to tally a gain of 2.1% for the week. The exchange-traded SPDR Gold SharesGLD, +0.50%  added 0.5% in Friday trading, poised for a weekly gain of around 2%. 
“There are many triggers for gold, including the mix of economic data showing uncertainty of future growth to inflation, which would push the [Federal Reserve] to raise rates in a slower sequence,” said Peter Spina, president and chief executive officer of GoldSeek.com. “The market is questioning the future rate increase amounts and thus the stage is being set up for a much larger gold rally in the months to year ahead.” - Marketwatch

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