BENGALURU, Dec 5 Prices of rice in top exporter
India slid to a three-year low this week as demand waned on
ample supply from the recent summer harvest, while demand from
Philippines picked up for the Vietnamese variety.
BENGALURU Prices of rice in top exporter India slid to a three-year low this week as demand waned on ample supply from the recent summer harvest, while demand from Philippines picked up for the Vietnamese variety.
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* U.S. and China closer to agreeing tariff rollback -report
* European shares recover some ground
* Platinum could rise to about $1,000/oz in 2020 -UBS
* GRAPHIC-2019 asset returns: http://tmsnrt.rs/2jvdmXl
By Diptendu Lahiri
Dec 4 Gold steadied on Wednesday, hovering near
a one-month high as investors awaited clarity on U.S.-China
trade talks, while palladium soared to a record high on scarce
Spot gold was little changed at $1,477.65 an ounce at
1250 GMT, having touched its highest since Nov. 7 at $1,484,
while U.S. gold futures were down 0.1% at $1,483.30.
Washington and Beijing are moving closer to agreeing on the
amount of tariffs to be rolled back in a so-called Phase 1 trade
deal, Bloomberg reported on Wednesday, citing sources.
"Investors are cautious about what would happen if we don't
have a deal on Dec. 15, given the headlines we've been seeing in
the past couple of weeks," said ING analyst Warren Patterson.
A further 15% U.S. tariff on about $156 billion of Chinese
imports is due to take effect on Dec. 15.
"The to and fro direction in the progress of the trade war
has whipsawed gold markets," Patterson said, adding that the
effects of headlines on prices will grow more intense as Dec. 15
European stocks recovered some of the previous session's
losses on U.S. President Donald Trump's warning that a deal with
China might have to wait until after the U.S. presidential
election next November.
Trump had also slapped tariffs on U.S. steel and aluminium
imports from Brazil and Argentina.
Safe-haven gold has risen about 15% this year, mainly on the
back of the 17-month trade dispute. But this month it has been
trading in a $1,444-$1,478 range, which was broken on Tuesday.
The U.S. House of Representatives, meanwhile, approved a
bill that would require Washington to toughen its response to
China's crackdown on its Uighur Muslim minority, which investors
fear could threaten trade ties.
Elsewhere, palladium was down 0.1% at $1,854.31 an
ounce after hitting a fifth record high within a month, peaking
"We continue to think that palladium price increases are not
justified by the fundamentals and that prices will fall back,"
ABN-AMRO analysts said in a note.
ABN-AMRO forecasts prices to be at $1,450 an ounce by the
end of next year and $1,500 by the end of 2021.
Platinum rose 0.5% to $914.24 and silver was
little changed at $17.15.
While the platinum market is expected to be oversupplied in
2020, it should latch on to gold and still trade up to about
$1,000 an ounce next year, UBS analysts said in a note.
(Reporting by Diptendu Lahiri and Asha Sistla in Bengaluru
Editing by Louise Heavens and David Goodman)
* China deal may be delayed until after U.S. elections -
* Palladium may be bound for a correction - analyst
* SPDR Gold holdings fall to lowest since Sept. 19
* Specs cut bullish positions in gold, raise silver - CFTC
By Diptendu Lahiri
Dec 3 Gold rose to its highest in more than a
week on Tuesday after U.S. President Donald Trump ratcheted up
trade tensions with China, Brazil and Argentina, pushing
investors to safe havens, while palladium held near a record
Spot gold was up 0.7% at $1,472.86 an ounce by 1330
GMT, after hitting its highest since Nov. 21 at 1,473.40 earlier
in the session. U.S. gold futures were 0.7% higher at
$1,478.90 per ounce.
"Credit goes to the tariff man (Donald Trump) for the
slightly higher movement we're seeing," said Saxo Bank commodity
strategist Ole Hansen.
Trump on Monday announced tariffs on U.S. steel and
aluminium imports from Brazil and Argentina "effective
immediately", opening new fronts in his trade war.
The U.S. President also said a trade agreement with China
might have to wait until after the U.S. presidential election in
"The effect of any news around the trade war is getting
lesser and lesser with each time we have one and there seems to
be no other catalyst on the horizon to break the narrow range,"
Gold has risen about 14% so far this year, mainly due to the
17-month-old trade dispute, but has been trading in a
$1,444-$1,478 range since November.
Also propping up bullion, weak U.S. manufacturing data on
Monday dented some optimism over global economic growth after
China's factory activity unexpectedly expanded at the quickest
pace in almost three years in November.
On the technical front, the metal continues to hold
rangebound heading into year-end, MKS PAMP said in a note.
Gold is "seemingly well supported around $1,450 (but)
lacking any meaningful demand to break top-side resistance
through $1,465-$1,470 and $1,480, the key level above this," it
Holdings of the world's largest gold-backed ETF, SPDR Gold
Trust , fell 0.7% to 889.16 tonnes on Monday, their lowest
since Sept. 19.
Hedge funds and money managers cut their bullish positions
in COMEX gold and raised them in silver contracts in the week to
Elsewhere, palladium edged down 0.2% to $1,848.38 per
ounce, having nearly matched an all-time peak of $1,861.71
scaled in the previous session.
"How high palladium can go depends on how much the carmakers
are willing to pay for steady supply of the metal," Saxo Bank's
"However, these multiple record highs may lead to a
correction soon, and we may see palladium hitting $1,800 before
it gets a chance to hit the $1,900 range."
Silver rose 0.7% to $17.03 and platinum was up
0.1% at $898.57 per ounce.
(Reporting by Diptendu Lahiri in Bengaluru
Editing by Alexandra Hudson and Jan Harvey)
(Adds quotes, details, updates prices)
* Palladium up 46% for the year
* Silver, platinum slip about 1%
* China factory activity expands at quickest pace in 3 years
* U.S. ISM manufacturing PMI data due at 1500 GMT
By Diptendu Lahiri
Dec 2 Gold prices fell on Monday after
better-than-expected manufacturing data from China assuaged
fears of a slowdown in global growth while deficit-ridden
autocatalyst metal palladium soared to an all-time high.
Spot gold slipped 0.4% to $1,457.96 per ounce by 1310
GMT. U.S. gold futures fell 0.6% to $1,463.80 per ounce.
Data showing growth in factory activity during November in
China, the world's second-largest economy and biggest gold
consumer, pushed up equity markets.
"At least in the short-term, this kind of data will keep
gold prices in check," said Julius Baer analyst Carsten Menke.
Gold is considered a safe store of value at times of
political or economic uncertainty.
Demand for the metal was further pressured by the rising
dollar, making dollar-denominated bullion more expensive for
buyers using other currencies.
On the U.S.-China trade front, reports said a preliminary
agreement has now stalled because of U.S. legislation supporting
protesters in Hong Kong and Chinese demands that Washington roll
back its tariffs.
Gold has risen more than 13% this year mainly due to the
trade dispute driving demand for safe assets.
"Nothing particularly has really changed (on the trade
front) from last week, the market remains in the dark about how
things will progress. Investor appetite for gold is just waning
a little bit on lack of direction," ANZ analyst Daniel Hynes
Pointing to lingering growth concerns, euro zone
manufacturing activity contracted for a 10th straight month in
November, IHS Markit's final manufacturing Purchasing Managers'
Index (PMI) showed.
Gold could move up in the medium to longer term as fears of
a slowdown still exist, Julius Baer's Menke added.
Investors now await manufacturing data from the U.S. later
in the day.
Palladium was up 0.7% at $1,853.21 an ounce, having
surged to an all-time high of $1,854.40. The metal has risen
about 46% this year.
"The rising prices for the scarcity-hit metal have attracted
a lot of carmakers who are getting cold feet. These people have
taken forward positions in anticipation that prices will go even
higher in the future," said Commerzbank analyst Eugen Weinberg.
Tightening emissions regulations are putting more palladium
– chiefly used in vehicle exhausts to reduce harmful emissions
–in each vehicle, supporting consumption even as weakening
global growth hits vehicle sales.
Elsewhere, silver fell 0.7% to $16.90 per ounce,
platinum was down 1.03% at $890.72 per ounce.
(Reporting by Diptendu Lahiri in Bengaluru, editing by Ed
Osmond and Emelia Sithole-Matarise)
Oil prices will remain subdued in 2020 as growth concerns weigh on demand and fuel a glut of crude, a Reuters poll showed on Friday ahead of production-policy talks among OPEC and its allies next week.
Gold held steady on Tuesday, after hitting its highest since Nov. 7 earlier in the session, as doubts about a trade deal between the United States and China dented risk sentiment.
* Gold neutral in narrow $1,462-$1,472/oz range- technicals
* Investors await U.S. Fed minutes on Wednesday
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By Diptendu Lahiri
Nov 18 Gold prices edged down on Monday as
optimism grew about U.S.-China trade ties following a report of
"constructive talks" over the weekend, while losses were capped
by a softer dollar.
Spot gold was down about 0.3% to $1,463.40 per ounce
at 0732 GMT, while U.S. gold futures were 0.4% lower at
Chinese state media Xinhua reported Washington and Beijing
had a high-level phone call on Saturday and that the two sides
discussed each other's core issues for the first phase of an
initial trade agreement.
"The first phase of the deal is extremely important to
investors as it will set the tone for later phases," said
Hareesh V, head of commodity research at Geojit Financial
Asian shares advanced after Beijing surprised markets by
trimming a key interest rate for the first time since 2015,
stirring speculation that more stimulus was on the way for the
world's second-largest economy.
"A recovery in risk sentiment across Asia and investors
cautiously optimistic about the phase one deal to go through
before Christmas, are weighing on gold," said Margaret Yang Yan,
a market analyst at CMC Markets, adding that a weak dollar
limited the metal's fall.
The dollar was a shade softer versus major
"In all likelihood, a breakdown in trade talks remains the
only scenario to breathe new life into gold prices at this
time," Jeffrey Halley, senior market analyst, Asia Pacific at
OANDA said in a note.
Investors also kept a close eye on developments in Hong
Kong, with police on Monday trapping hundreds of protesters
inside a major university and demonstrators rampaging through a
tourist district, after almost two straight days of standoffs.
Gold is considered a safe store of value during times of
economic or political uncertainty.
Market participants now await minutes of the Federal
Reserve's last policy meeting, due on Wednesday, for clues about
the future interest rate trajectory.
Gold is highly sensitive to interest rates, as a lower
interest reduces the opportunity cost of holding the
On the technical front, spot gold looks neutral in a narrow
range of $1,462-$1,472 per ounce but a break above $1,472 may
lead to a gain limited to $1,480, according to Reuters technical
analyst Wang Tao.
Among other metals, silver was down 0.6% at $16.85
per ounce, while platinum inched down 0.1% to $888.41 per
Palladium rose 0.7% to $1,716.61 per ounce.
(Reporting by Diptendu Lahiri in Bengaluru; Editing by Shailesh
Kuber and Subhranshu Sahu)
* Trump to speak at the Economic Club of New York later in
* Gold up nearly 14% this year
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