Posted by CapitalStars07
Posted on 23:39
with 2 comments
Gold prices gain smartly in Asia as Fed rate hike views dominate.
Brent extends gains after Russia, Saudi Arabia sign pact.
LME Copper to Stay Range-Bound.
PRECIOUS METALS:- Gold gained in Asia on Tuesday as investors continued to mull the chances of a Fed rate hike this month in the wake of weaker than expected U.S. jobs data at the end of last week.
Gold for December delivery on the Comex division of the New York Mercantile Exchange rose 0.31% to $1,330.85 a troy ounce. Silver futures on the Comex for December delivery added 1.35% to $19.627 a troy ounce.
Overnight, gold prices held steady near a one-week high during North American hours on Monday, as trade volumes were expected to remain light with many investors in the U.S. away for the Labor Day holiday.
LME copper should range at USD 4,615~4,655/mt on Tuesday and SHFE 1611 copper will move at RMB 36,400~36,750/mt with positive technical indicator.
US August LMCI, the US IBD consumer confidence index in September and eurozone annualized Q2 GDP are slated for release today. Base metals are expected to diverge today.Disappointing US non-farm employment and salary figures in August bode ill for US CCI.
Market expectations of a Fed rate hike in September decreased due to weakening non-farm payrolls in the US. US non-farm employment data are expected to be revised upwardly significantly. Should the LMCI extend gains in August, the US dollar index will receive a boost.The European Central Bank will announce its interest rate decision for September this Thursday.
ENERGIES:- Crude prices extended gains on Tuesday, buoyed after top producers Russia and Saudi Arabia agreed to cooperate on stabilizing the oil market, but a lack of immediate action to rein in output capped gains.London Brent crude for November delivery was up 12 cents at $47.75 a barrel by 0330 GMT (1130 ET), after settling up 80 cents on Monday.
The global benchmark on Monday hit a near one-week high of $49.40 after the Russia-Saudi news, but has since pared gains after Saudi Energy Minister Khalid al-Falih said there was no need now to freeze production. He added, however, that freezing output was one of the preferred possibilities.