On Monday the price of gold is stable after a period of the sustained growth last week. The market attention is focused on the upcoming presidential debates in the United States, which can play a crucial role in the forthcoming November elections.
The precious metal finished the last week with a two-month record increase. This happened mainly due to the cautious stance of the Federal Reserve regarding the interest rates after the Wednesday meeting.
By the middle of the day gold costs $ 1,337 per troy ounce against $ 1.337,21 per ounce at the session closing on Friday. Quotes have risen by about 2 percent over the last week.
The US contracts for gold have fallen in price by $ 0.9 to $ 1.340,80 per ounce.
Ole Hansen, head of commodities strategy at Saxo Bank, commented on the situation: “Gold has been stuck in a relatively narrow range the third day in a row. The demand from hedge funds and investors … has been absent for recent weeks. This is despite the good prospects for increasing the US interest rates, strengthening of Trump’s position in the polls as well as the weakening dollar and the current weakness of the stock market due to losses in the banking sector. ” European and Asian stock markets are in a weak position. They are tracking losses on Wall Street. The interest in risky assets is gradually falling due to presidential debates, which are expected by everyone as well as uncertainty about oil prices before the backstage meeting of the OPEC participants.
The first debates of the Republican candidate Donald Trump and the Democratic candidate Hillary Clinton will be held on Tuesday at 01.00.
MKS overview says: “Trump is narrowing the gap with Clinton and the uncertainty is likely to lead to the preservation of the oil price at a high level.”
Silver costs $ 19.40 per ounce against $ 19.65 at the session closing on Friday. Platinum is being traded at $ 1.036,25 against $ 1.050,74 and palladium – $ 690.50 vis-a-vis $ 700.00.