Big turnaround for gold

GOLD investors witnessed their fortunes change during the second quarter after benefiting from gold’s strong performance in the first quarter, the World Gold Council notes in its mid-year report for 2018.

  • Staff Reporter
  • 27 July 2018
  • 04:50
  • News
Big turnaround for gold

Related Content

"As we look ahead, we have identified three key macro trends that will influence gold's behaviour in the second half of 2018: positive but uneven global economic growth; trade wars and their impact on currency; rising inflation and an inverted yield curve.
 
"Combined with attractive entry levels, we believe that these trends will increase gold's relevance for investors in the months ahead," the WGC said.
 
Meanwhile stimulus measures announced by Beijing gave metals some much-needed support during midweek.
 
The Chinese government announced it would cut taxes to boost domestic growth in the wake of trade tensions with the US.
 
Zinc was the biggest mover, up by 2.8% to $2652.50 per tonne, followed closely by copper, which rose by close to 2.8% to $6264.75/t.
 
According to Bloomberg, BHP has made a final offer to the Escondida union to avoid a strike at the world's largest copper mine.
 
Nickel, tin and lead all rose by more than 1% each, while cobalt was unchanged at just below $70,000/t.
 
Gold rose to $1234 an ounce after trading in a range of $1227-1238.60/oz during midweek.
 
Overnight, the gold price was fixed at $1224.65.
 
The WTI crude oil price was up overnight at $69.65 per barrel.
 
In softer commodities, cocoa increased $70 per tonne or 3.12% to $2315/t yesterday from the $2245 in the previous trading session, tradingeconomics.com reported. Historically, cocoa reached an all-time high of $4361.58/t in July of 1977 and a record low of $211/t in July of 1965.
 
Coffee decreased 1.50c per pound or 1.35% to 109.50c/lb yesterday from 111c/lb in the previous trading session, tradingeconomics.com reported. Historically, coffee reached an all-time high of 339.86c/lb in April of 1977 and a record low of 42.50c/lb in October of 2001.
 
 

PNGReport newsletter

Company Profiles

Upcoming Events