Fed Minutes Fail To Spur Gold Prices Higher

By Glenn Dyer | More Articles by Glenn Dyer

Gold prices were rangebound on Wednesday, finally settling 60 US cents higher at $US1,684.30 an ounce.

It edged a touch higher in after-hours trading when the minutes of the last Fed meeting were released that showed growing concern about the impact COVID-19 was having on US economic activity.

Just after 6 am Sydney time it was in the red, down around $US1,679 an ounce.

That meeting was held after the Fed chopped its key interest rate back to the record low of zero percent to 0.25% in early March.

The US dollar was a touch weaker and US bond yields were mixed to slightly firmer as fears continued to ease about the impact of COVID-19. That’s despite another record death toll for the US and especially New York.

Comex May silver settled 27.5 cents, or 1.8%, lower at $US15.205 an ounce.

Gold remains more than 2% higher for the week, and on Tuesday topped $US1,700 an ounce to trade at its highest intraday level since late 2012.

Comex May copper shed 0.6% to $US2.26 a pound.

Meanwhile, iron ore prices edged higher to close at $US83.64, a rise of 1% or 91 US cents for the standard 62% Fe fines delivered to northern China.

Glenn Dyer

About Glenn Dyer

Glenn Dyer has been a finance journalist and TV producer for more than 40 years. He has worked at Maxwell Newton Publications, Queensland Newspapers, AAP, The Australian Financial Review, The Nine Network and Crikey.

View more articles by Glenn Dyer →