#NEWS : Gold prices in narrow range ahead of HSBC China flash PMI survey Xpert Trading hk -- Gold prices seesawed between gains and losses in early Asia on Friday in the wake of the European Central Banks quantitative easing with the focus now on a gauge of China manufacturing activity. Ahead is the the HSBC China flash manufacturing PMI, which is closely tracked by the market, could be a key event for risk sentiment. This is due at 0945 local time (0145 GMT). Theres not much chance of a significant improvement in the headline reading over Decembers fall to a seven-month low of 49.6. On the Comex division of the New York Mercantile Exchange, gold futures for February delivery eased 0.05% at $1,301.30 a troy ounce in Asia. Gold turned higher on Thursday, after the European Central Bank unveiled a government bond-buying program at the conclusion of its highly-anticipated policy meeting. Also on the Comex, silver futures for March delivery fell 0.16% at $18.320 a troy ounce on Friday. On Wednesday, silver rallied to $18.50 an ounce, the highest level since Sept. 19, before ending at $18.19, up 23.7 cents, or 1.32%. The ECB announced that it would launch a €60 billion monthly bond buying program that would start in March and last until September 2016, in a bid to stave off the threat of deflation in the euro area and boost growth. In total, the program could total €1.08 trillion, much higher than market expectations for a figure of around €500 billion. The decision came after the ECB held its benchmark interest rate at a record-low 0.05%. The central bank also kept its marginal lending at 0.30% and left its deposit facility rate unchanged at -0.20%. The QE announcement pressured the euro and sent the dollar higher. The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.65% to hit a 12-year high of 93.62. Also Thursday, the U.S. Department of Labor said the number of individuals filing for initial jobless benefits decreased by 10,000 to 307,000 last week from the previous week’s total of 317,000. Analysts had expected initial jobless claims to decline by 17,000 to 300,000 last week. Elsewhere in metals trading, copper for March delivery fell 0.30% to trade at $2.583 a pound Friday ahead of the HSBC survey.
Posted on: Thu, 22 Jan 2015 23:41:02 +0000