Gold was unchanged ahead of the Fed Jackson Hole symposium

Gold was unchanged ahead of the Fed Jackson Hole symposium

Gold was flat on Thursday as investors grew cautious ahead of comments by Federal Reserve Chairman Jerome Powell this week that could provide clues to the central bank’s plans to scale back its economic stimulus.

Spot gold was flat at $1,790.63 per ounce by 0037 GMT. Prices fell 0.7% in the previous session, their biggest one-day fall in more than two weeks.

U.S. gold futures rose 0.1% to $1,793.00.

The dollar index was steady, while the S&P 500 and Nasdaq both closed at record highs.

Powell is due to speak on Friday at the Fed’s annual economic symposium in Jackson Hole, Wyoming, where markets will seek guidance on tapering the fed’s bond-buying program.

New orders for key U.S.-made capital goods were unexpectedly flat in July amid supply constraints and a shift in demand to services, suggesting that business spending on equipment could slow in the second half after robust growth over the past year. 

Holdings of the SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, fell 0.3% to 1,001.72 tonnes on Wednesday, the lowest level since April 2020.

Silver was flat at $23.85 per ounce, while platinum was flat at $996.20.

Palladium fell 0.1% to $2,426.17.

Damon Harrison
Market Analyst, IPG Group