Gold Rises To Two Month

Forex News and Events: Over the past few days, the media has been relaying comments suggesting leaders are backing the stay of Greece in the EMU. For starters the G8 stressed the importance for Greece to remain in the monetary union regardless of the discord over how to best tackle the crisis. During an interview with CNBC on Tuesday, former Greek PM insisted that an exit would yield “catastrophic” consequences for the country itself and “far reaching” implications for the EU. During yesterday’s European session however, EU officials stated they have agreed over a teleconference call with Eurogroup Work Group (EWG) that each nation in the EMU must prepare an individual contingency plan in case of an exit. The EUR sank against the USD to its lowest level since July 2010 at 1.2544, down 5. ...

Forex Morning Briefing : RBA surprises with 50 bps cut What’s new: Forex: Aussie tumbles on RBA rate cut; euro off two-week lows against yen Global Markets: Asian shares hurt by concerns over US and European economies, lifted by RBA Australia: RBA cuts rates by 50 bps to 3.75 percent China: Manufacturing PMI rises as expected to 53.6 Euro zone: Eurogroup head quits citing intolerance to Franco-German interference Euro zone: Spain slips back into recession United States: Fed’s Fisher and Williams say no need for further monetary easing United States: ISM manufacturing index due today at 16:00 CET Rates in Asia and Indices: EUR/USD 1.3234 1.3260 0.11 % USD/CHF 0.9060 0.9077 0.11 % GBP/USD 1.6212 1.6241 -0.07 % USD/JPY 79.64 79.95 ...

(Reuters) - Gold edged up on Thursday on gains in equities and expectations the U.S. Federal Reserve could do more if necessary to lift the economy, recouping earlier losses triggered by a lack of surprises from the central bank's meeting on interest rates. The Fed has already engaged in two rounds of asset purchases totaling $2.3 trillion, known as quantitative easing, to drive down interest rates and stimulate the economy. The latest QE helped push up commodity prices by providing cheap money to investors who placed it in riskier assets. Fed Chairman Ben Bernanke said U.S. monetary policy was "more or less in the right place" even though the central bank would not hesitate to launch another round of bond purchases if the economy were to weaken. Gold added $3.54 an ounce to $1,647.52 ...

(Reuters) - The euro hovered near a three-week high against the dollar on Wednesday after euro zone sovereign debt attracted decent demand and strong earnings from Apple boosted risk appetite, while focus turned to the outcome of a Federal Reserve meeting. The euro traded at $1.3197, close to levels not seen in three weeks, after hitting the previous session's low of 1.3145. Immediate resistance is at last week's high of 1.3225. Investors were relieved when successful auctions sent yields on Dutch, Spanish and Italian debt lower on Tuesday, a day after the government in the Netherlands collapsed in a crisis over budget cuts. Traders cited stop losses at 1.3230 in the common currency, while chartists suggested that if they get triggered, the euro would target resistance at the 61.8 ...

(Reuters) - Gold prices slid below $1,630 an ounce on Monday as concerns that the euro zone debt crisis could ensnare higher-rated countries hurt the single currency, though moves were muted ahead of this week's Federal Reserve meeting. The metal is extending the 2 percent losses it has posted so far this month, in line with a drop in the euro. The currency has come under heavy pressure from growing fears over the ability of some euro zone countries, particularly Spain, to manage debt. Spot gold was down 0.7 percent at $1,629.69 an ounce at 7:53 a.m. EDT (1153 GMT), while gold futures for June delivery were down $11.80 an ounce at $1,630.90. "We are basically caught between two opposing factors," Credit Suisse analyst Tobias Merath said. "On the one hand, we have U.S. bond yields ...

(Reuters) - Gold held steady on Friday in listless trading as persistent concerns about the euro zone's finances and disappointing U.S. economic data put off most investors. Spot gold edged up 0.1 percent to $1,644.15 an ounce by 11:27 p.m. EDT, on course for a 0.9-percent weekly fall. U.S. gold inched up 0.2 percent to $1,645.10. Technical analysis suggested that spot gold could fall to $1,611.80 an ounce during the day, said Reuters market analyst Wang Tao. Economists believe Spain and Italy will not need international bailouts as they battle through their debt crises, but investors remained worried, as evident in the rising yields of the bonds Spain auctioned on Thursday. Gold has fallen more than 1 percent so far this month, in tandem with equities and other commodities, after ...

(Reuters) - Gold steadied on Tuesday, surrendering earlier gains as a rally sparked by expectations that a sluggish U.S. employment market could fuel further quantitative easing ran out of steam in the face of a firming dollar and easing appetite for risk. Spot gold was up 0.2 percent at $1,643.46 an ounce at 1404 GMT, well below an earlier high of $1,654.10. U.S. gold futures for June delivery were up $1.10 at $1,645.00. Ultra-loose U.S. monetary policy, which keeps real interest rates low, has been a key driver of higher bullion prices. These fell to three-month lows a week ago after minutes from the Federal Reserve's last meeting suggested no extension to easing, and have struggled to rise significantly since then despite weakness in a key U.S. payrolls report on Friday. "It is ...

The Week Ahead Highlights QE or not QE? BOJ under pressure to ease No more support from the ECB Will the UK avoid a recession? Market Moves: Key Levels QE or not QE? The release of the FOMC minutes earlier this week and speeches by Fed officials have resulted in markets reducing their expectations of additional easing. However, today's disappointing jobs figures (120K in headline NFP vs. cons. 205K) have brought the speculation of more stimulus back into focus. To illustrate the extent of the negative surprise in the NFP print, the lowest estimate was for the addition of 175K payrolls out of the 80 economists surveyed by Bloomberg. QE3 chatter is making its rounds again in the markets and the US dollar has tumbled against most of the majors as heightened speculation ...

If you're waiting for the next meltdown in U.S. stocks or in commodities, you may want to get over it. After several false dawns following the global financial crisis, more investors are starting to believe the current rally in stocks, commodities and emerging markets could be a long-lasting one. The S&P 500 closed above 1,400 points last week for the first time since the 2008 financial crisis. Investors piled into U.S. equity funds, with the biggest weekly inflows since mid-September. "Is this risk rally for real? I think the answer to that question is yes, but it's not a straight line up," said Art Steinmetz, chief investment officer at Oppenheimer Funds in New York, managing more than $177 billion in assets. Oppenheimer is currently betting on stocks tied to upswings in the economy, ...