PT Rifan Financindo Berjangka – Gold Flat, Market Weighs Likelihood of Reflation
Gold prices are flat in early Asian trade. Monetary policy expectations and the U.S.’s economic performance will be the dominant drivers of the precious metal’s prices in the near term, Maike Futures says in a research note. The market is still debating the degree of reflation in 2025 and the effectiveness of economic policies, it says.
Without clear direction, the precious metal’s prices have been fluctuating, Maike notes, adding that investors should focus on when the dollar and the U.S. Treasury yields will turn for trading opportunities.
Spot gold is flat at $2,606.88/oz.
Source : Dow Jones Newswires
Gold’s 26% Advance Stands Out in Mixed Year for Metals Markets
Gold is heading for one of its biggest annual gains this century, with a 26% advance that has been fueled by US monetary easing, sustained geopolitical risks, and a wave of purchases by central banks.
While bullion has ticked lower since Donald Trump’s sweeping victory in November’s US presidential election, its gains over 2024 still outstrip most other commodities. Base metals have had a mixed year, while iron ore has tumbled, and lithium’s woes have deepened.
The varied performances over 2024 highlight the absence of a single, over-riding driver that’s steered the complex’s fortunes, while also putting the spotlight on how metals, both base and precious, may fare next year. For 2025, investors are focused on uncertainty around US monetary policy, potential frictions from Trump’s presidency, and China’s efforts to revive growth.
Gold’s strong gains this year — which have seen the metal set a succession of records — may signal a possible shift in the market’s dynamics given they have come despite a stronger US dollar and rising real Treasury yields, both typically headwinds.
The precious metal has been “as remarkable as it’s been relentless, making it my biggest market surprise of 2024,” David Scutt, an analyst at StoneX Group Inc. said in a note. “The gold game looks to have changed.”
Spot gold traded little changed at $2605.50. PT Rifan Financindo Berjangka.
Source : Bloomberg