According to the auction, the December futures for gold on the new York stock exchange Comex rose in price to 1170,80 USD per Troy ounce amid investor confidence postponing the rate increase by the fed.
MOSCOW, 22 Oct. Gold prices are rising on Thursday amid investor confidence postponing the rate increase from the Federal reserve system (FRS) the USA, according to AFP.
As at 17.38 GMT December futures for gold on the new York stock exchange Comex rose in price by 3.7 million, or 0.32%, to 1170,80 dollars per Troy ounce. The cost of December futures for silver increased by 1.08% to $ 15.88 per ounce.
The price of gold this summer fell to a five-year low on expectations that the fed will soon raise interest rates, but in September the regulator has kept them at the same level. Later, gold prices have moved to increase amid expectations that the volatility in emerging markets will force the regulator to refrain from raising rates. Higher interest rates are expected to put pressure on gold prices.
“The market really does not expect more rate hikes this year”, — quotes Reuters analyst ABN Amro Bela Georgette (Georgette Boele).
The majority of market participants believes that rate hikes will begin next year, but some do not exclude the beginning of monetary policy tightening by the fed in December. Gold prices likely will continue to fluctuate in the waiting period when the fed starts to raise rates, experts say.