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Gold edges up as dollar dips and treasure hunt claims another victim

The gold price has edged up to $1,251.74 at the time of writing on the back of a weaker dollar. The resurgence comes after gold settled at its lowest point for five weeks, as the market deals with the fallout from a hawkish Federal Reserve.

The consensus that led to a gold drop is that the Federal Reserve (the Fed) will continue to hike rates throughout the year, leading many to exit the gold market for fear of a squeeze.

However, in an interview with the Financial Times yesterday, Philadelphia Fed President Patrick Harker said he advocated a “pause” on rate increases while the Fed trims its balance sheets. Harker sits on the Federal Open Market Committee, which sets monetary policy; this sentiment could thus prove influential.

The Economic Times India reported that the gold price was also helped by a decrease in US treasury yields. The yield curve flattened to a ten-year low yesterday as investors “evaluated the impact of hawkish Federal Reserve policy on the economy”.

The oil price slide, which we reported on yesterday, continues to put upward pressure on gold: “The uncontrolled oil price spill in the futures markets may have seen some traders pushing the risk aversion button and buying gold,” said Jeffrey Halley, senior market analyst at OANDA, to the Economic Times India.

In other news a long lost treasure has claimed another victim. Seven years ago millionaire art dealer and former fighter pilot, Forrest Fenn, purportedly hid a 22lb Romanesque bronze chest stuffed with $1m worth of loot in New Mexico, and published a 24-line poem containing clues to its whereabouts.

Unfortunately last week a treasure-hunter died in his attempts to find the cache.The body of Paris Wallace, a pastor from Colorado, was found in the Rio Pueblo de Taos, a tributary of the Rio Grande, 50 miles north of Santa Fe. This comes in the wake of  Randy Bilyeu, 54, who last year set out to find the treasure, only for his body was found six months later.

Photo: The Rocky Mountains, where the treasure allegedly liesCredit: U.S. Department of the Interior, under CC BY-SA 2.0 (edited).

 

Link to this article: : http://www.goldmadesimplenews.com/gold/gold-edges-up-as-dollar-dips-and-treasure-hunt-claims-another-victim-13233/

Posted by on Jun 22 2017. Filed under Gold News, Mining. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.

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