empty
 
 

2020.05.1311:10:00UTC+00Gold Holds Steady Ahead Of Powell Speech

Gold prices were little changed in lackluster trade on Wednesday as investors avoided making big bets ahead of a speech by Federal Reserve Chairman Jerome Powell on the economy later in the day.

Spot gold edged up 0.1 percent to $1,704.23 per ounce, while U.S. gold futures were little changed at $1,707.65 per ounce.

Powell's comments are going to be scrutinized by markets after U.S. President Donald Trump on Tuesday again urged the U.S. central bank to adopt negative interest rates.

"As long as other countries are receiving the benefits of negative rates, the U.S. should also accept the 'GIFT'. Big numbers!" Trump tweeted.

U.S. consumer prices in April dropped by the most since the Great Recession, weighed down by a plunge in demand for gasoline and services, including airline travel, the Labor Department said on Tuesday.

Markets expect that rates will remain extremely low for an extended period until the economy shows a sustainable recovery.

The Fed believes that negative rates would create downward pressure on bank profitability, which limits credit expansion.

  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $1000 more!
    In April we raffle $1000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS


Can't speak right now?
Ask your question in the chat.
Widget callback