Gold Prices Stabilize Amid US Fed Chairman's Speech

Gold prices stabilized in the domestic markets, today, with a stable performance for the gold ounce in the international markets amid the speech of the US Fed Chairman, and the analytic data of the US labour market.

Saied Embabi, Executive Director of the “Isagha” platform, said that gold prices in the local markets stabilized today. The gram of 21-karat recorded EGP 3680, while an ounce hit $3641 in international markets.

He added that the gram of 24-karat recorded EGP 4206, 18-karat hit EGP 3154, while 14-karat was sold at EGP 2454, and the pound of gold recorded about EGP 29440.

Embabi highlighted that gold moves in the same range since the beginning of this week with the anticipation of the US Fed Chairman speech, and the release of the US economic data.

Jerome Powell, the US Fed Chairman, will talk during the New York Times monetary event, and his statement could include references of the US Fed future policies.

US Markets expect that US Fed would increase the interest rates by 25 points during December 18 meeting as part of their less-restricted policy, however, the US Fed may keep the rates unchanged with the soon arrival of Trump's economic plans.

He continued that the rise in US Treasury Bonds revenues, restricted the revenues of gold, especially with the escalating geopolitical tensions in the Middle East, as well as the tariffs Trump plans to add.

Mary Daly, president and chief executive officer of the Federal Reserve Bank of San Francisco, said that the US economy is good, and the labour market is balanced, so decreasing the interest rates in December considered.

Adriana Kugler, a member of the Federal Reserve Board of Governors, said that the US Fed will take the required decisions after having a meeting after meeting.

Austan Goolsbee, president of the Federal Reserve Bank of Chicago, said that prices should drop fairly during next week as inflation is close to the target.

Trump pledged to impose tariffs on Mexico, Canada, and China, in addition to BRICS members.

Contributed by: Rana Atef