Gold edges up as dollar eases; markets brace for Fed meeting

Updated: Tue, Sep 19, 2017
06:54 am
Reuters
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Gold on Tuesday inched up from its lowest in over two weeks as the dollar shed some of its gains from the previous session, with market focus on a two-day Federal Reserve meeting that kicks off later in the day.FUNDAMENTALS

* Spot gold was up 0.2 percent at $1,308.86 an ounce by 0044 GMT, after dropping to its lowest level since Aug. 31 at $1,304.10 in the previous session.

* U.S. gold futures for December delivery edged up 0.1 percent to $1,312.60 an ounce.

* The dollar index <.dxy>, which measures the greenback against a basket of currencies was down 0.1 percent at 91.924. It eased 0.1 percent versus the yen after marking its highest since July 27 overnight.

* Asian shares wavered on Tuesday, bolstered by record highs on Wall Street but hobbled by uncertainty as traders waited on the Fed meeting for clues on U.S. monetary policy. [MKTS/GLOB]

* The Fed is set on Wednesday to announce the start of a plan to trim its $4.5-trillion portfolio of assets, much of it amassed in response to the 2007-2009 financial collapse, marking another milestone in bringing to an end the crisis-era measures.

* Bank of England Governor Mark Carney said on Monday that Brexit is likely to hurt Britain`s growth prospects in the short term and push up inflation as the country adjusts to life outside the European Union.

* Euro zone headline inflation hit its highest level in four months in August, official data showed on Monday, confirming the European Union statistics office`s earlier flash estimate.

* The U.S. military staged bombing drills with South Korea over the Korean peninsula and Russia and China began naval exercises ahead of a U.N. General Assembly meeting on Tuesday where North Korea`s nuclear threat is likely to loom large.

* Chinese President Xi Jinping and U.S. President Donald Trump spoke about keeping pressure on North Korea with economic sanctions imposed through the United Nations, the White House said in a statement on Monday.

* SPDR Gold Trust , the world`s largest gold-backed exchange-traded fund, said its holdings rose 0.63 percent to 843.96 tonnes on Monday from 838.64 tonnes on Friday. [GOL/ETF]

* Kinross Gold Corp , as expected, gave the go-ahead on Monday to spend more than $1 billion to expand two of its gold mines, including its Tasiast mine in West Africa.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)