US STOCKS-Futures flat as investors await Fed
Aug 24 U.S. stock index futures were flat on Wednesday as investors keep up their wait for Federal Reserve Chair Janet Yellen's speech on Friday for clues on the timing of a rate hike.
* Geopolitical tensions rise after Pentagon news on Iran * Worries over U.S. "fiscal cliff" support gold * China seen surpassing India as top gold consumer By Josephine Mason and David Brough NEW YORK/LONDON, Nov 8 Gold rose to three-week highs on Thursday as investors continued to bet on easier U.S. fiscal policy following President Obama's victory, and prices also got a bounce from fears about increased tensions between the United States and Iran. Prices extended gains in afternoon trade, jumping just over $10 to $1,734 ounce - their highest level since Oct. 19 - after the Pentagon said Iran fired on a U.S. unmanned, unarmed surveillance drone on Nov. 1. Safe-haven buying held prices up even though there appeared to be little cause for immediate concern. The authorities said the incident took place over a week ago, with the craft undamaged and returned safely to its base. "Something popped after the Pentagon confirmed Iran shot on a drone last week," said a New York-based broker. Spot gold was at $1,731.61 an ounce by 4:23 p.m. EST (2123 GMT), up $15.30. After four days of gains, the market was on track for its biggest weekly rise since the end of August. U.S. gold futures for December delivery settled up $12, or 0.70 percent, at $1,726 an ounce. Earlier in the day, expectations that four more years of a Democrat in the White House would contribute to an extension of the Federal Reserve's easy monetary policy continued to provide upward momentum. "This is the longs coming back because of the continued perception that easier money will be in place," said Frank McGhee, head metals trader of Integrated Brokerage Services LLC. Worries about the "fiscal cliff" provided support for safe-haven gold, even as a strong dollar offset upward pressure on prices by making it more expensive for buyers holding other currencies. Europe's crisis moved back into the spotlight, with the euro falling to a two-month low against the dollar after the European Central Bank held interest rates at a record low and said the euro zone's economy showed little sign of recovering before year-end. In the longer term, traders said gold is likely to benefit from uncertainty over the looming "fiscal cliff" when nearly $600 billion worth of spending cuts and tax increases kick in with the risk of pushing the U.S. economy into deep recession. "We will continue with support around $1,700 and $1,680, but before the end of the year, gold should gradually rise because we have liquidity (quantitative easing), and low yields," said Andrey Kryuchenkov, analyst with VTB Capital. INDIAN DEMAND HURT BY HIGH PRICES Signs emerged though that high prices may hurt demand, with gold importers in India, the world's biggest buyer, holding off buying even as the country's festival season approaches its peak next week with Diwali. China may help to offset weakness in consumption over the Indian wedding season, which typically the strongest time of year for gold purchases. China's gold demand is expected to grow 1 percent this year to a record of around 860 tonnes, overtaking India as the world's biggest consumer of gold for the first time on a yearly basis, the global head of metals at consultancy Thomson Reuters GFMS said on Thursday. "China will overtake India ... both in overall demand terms and as the world's largest jewellery market," he told the online Reuters Global Gold Forum. Spot platinum was down 0.15 percent at $1,541.25 and spot palladium was up 0.41 percent to $611.97. Silver rose 1.83 percent to $32.34 an ounce. 4:49 PM EST LAST/ NET PCT LOW HIGH CURRENT SETTLE CHNG CHNG VOL US Gold DEC 1726.00 12.00 0.7 1712.60 1735.10 150,022 US Silver DEC 32.24 0.579 1.8 31.630 32.450 41,109 US Plat JAN 1542.50 3.00 0.2 1534.70 1549.50 7,741 US Pall DEC 614.35 4.00 0.7 604.90 616.30 2,704 Gold 1729.99 13.68 0.8 1713.30 1734.81 Silver 32.320 0.560 1.8 31.670 32.400 Platinum 1540.75 1.76 0.1 1535.75 1544.75 Palladium 611.97 2.50 0.4 608.00 614.50 TOTAL MARKET VOLUME 30-D ATM VOLATILITY CURRENT 30D AVG 250D AVG CURRENT CHG US Gold 177,527 174,094 16.3 0.03 US Silver 53,400 56,876 25.46 -2.41 US Platinum 7,919 9,735 19.29 0.06 US Palladium 3,266 4,807
NEW DELHI, Aug 24 Swedish home furnishing giant IKEA AB said it would continue doing business with Welspun India while it awaits the outcome of the Indian textile manufacturer's probe into its sales practices.
Aug 24 (Reuters) -The FIMMDA-Thomson Reuters Mumbai Inter-bank Forward Offered rate for six months based on the implied yield using dollar-rupee premium is 7.29 percent on Wednesday compared with 7.32 percent the previous day. The FIMMDA-Thomson Reuters Mumbai rupee overnight offered rate(MITOR) based on the cash-spot dollar rupee premium was 6.88 percent on Wednesday. One-month, two-month, three-month, six-month and one-year swaps and benchmark rates are given in the table below. ----------