empty
 
 

2020.07.2918:57:00UTC+00Gold Futures Extend Gains To 9th Straight Session

Gold futures settled higher on Wednesday, extending gains to a ninth successive session, thanks to continued safe-haven demand amid the relentless surge in coronavirus cases across the world.

The dollar's retreat contributed as well to gold's uptick. The dollar index, which rebounded on Tuesday after recent losses, slipped to 93.28, losing more than 0.4%.

After settling for the session at fresh record high, gold futures gained further ground after the U.S. Federal Reserve said it plans to keep interest rates near zero until the economy improves.

Gold futures for August gained $8.80 or about 0.5% to settle at $1,953.40 an ounce. The contract

Silver futures for September advanced $0.021 to $24.321 an ounce, while Copper futures for September settled at $2.9190 per pound, gaining $0.0015 for the session.

A report released by the National Association of Realtors said pending home sales in the U.S. showed a significant increase in the month of June. NAR said its pending home sales index surged up by 16.6% to 116.1 in June after skyrocketing by 44.3% to 99.6 in May. Economists had expected pending home sales to jump by 15%.

In a widely expected move, the Federal Reserve announced today that interest rates will remain at near-zero levels amid the economic hardship imposed by the coronavirus pandemic.

The Fed said it decided to maintain the target range for the federal funds rate at zero to 0.25%, where it has remained since an emergency rate cut on March 15.

The accompanying statement noted economic activity and employment have picked up somewhat in recent months following sharp declines but remain well below their levels at the beginning of the year.

The central bank partly attributed the recent improvement in overall financial conditions to policy measures to support the economy and the flow of credit to U.S. households and businesses.

The Fed also reiterated that it remains committed to using its full range of tools to support the U.S. economy in this challenging time. In addition to keeping interest rates at current levels until it is confident the economy has weathered recent events, the Fed said it will also continue to increase its holdings of Treasury securities and agency residential and commercial mortgage-backed securities at least at the current pace.

  • 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 $5000 more!
    In November we raffle $5000 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