According to a latest update from the World Gold Council in April, holdings in global gold-backed ETFs and similar products fell across all regions by 57 tonne.
Gold observed smart recovery due to demand for safe haven since the US hiked tariffs on more than $200 billion in goods from China. President Donald Trump insisted it was still possible to reach a deal this week, saying he had received a beautiful letter from Xi and that the two leaders would probably speak by phone.
Meanwhile, the US trade deficit widened to $50 billion in March from a revised $49.3 billion in February, the Commerce Department reported. The wider trade deficit came as the value of imports surged by 1.1% to $262 billion in March from $259.2 billion in February. Gold was also supported as the European Commission cut its growth forecasts for the euro area and slashed its projection for Germany as it warned that escalating trade tensions threaten to make the outlook even worse.
According to a latest update from the World Gold Council in April, holdings in global gold-backed ETFs and similar products fell across all regions by 57 tonne.
Global assets under management in US dollars fell by 3%, as the price of gold of gold fell 1% during the month. Global gold-backed ETF flows are negative on the year as the price of gold during 2019 is now effectively flat in US dollars. Despite outflows in April, holdings in UK-based gold-backed ETFs remain near all-time highs, likely due to Brexit uncertainty driving heavy inflows over the past few quarters.
Central banks across the globe are shopping for gold reserves with the first quarter of 2019 seeing significant buying from such entities. According to the latest Gold Demand Trends report by the World Gold Council, central banks' buying in the first quarter witnessed a 68% jump from the same period in 2018 and also the strongest start to a year since 2013.
Meanwhile, the overall global gold demand rose by 7% compared to the same period last year. On a different note, the first quarter jewellery demand rose 1% compared with the same period last year, at 530.3 tonnes, boosted by India.
Next week couple of important economic data will be in focus other than developments into US - China trade talks, like, US retail sales, industrial production, Empire state manufacturing index and Philly fed manufacturing index. The investment demand may go up in coming sessions hence it is recommended to stay on long side for next week too.
To get profitable financial guidance, give one missed call on 9644405057. We offer 2 days of free trial. Our packages are affordable. Click here to visit our website: Option Tips
No comments:
Post a Comment