Gold prices had their modest three-day win streak put in jeopardy on Wednesday, as investors tiptoed back into equities after their brutal stretch to start the year.
A day earlier, gold prices rallied as its shine as a safe haven was burnished by the fact that the S&P 500 SPX, -0.89% extended its losses in 2015 to almost 3%. Incidentally, that’s about the same amount that gold had risen since the ball dropped on the new year.
On the economic front, the ADP employment report at 8:15 a.m. Eastern Time will serve as an appetizer for Friday’s jobs report, while the trade-balance numbers for November will be released 15 minutes later. After the market closes, we’ll get a look at the Federal Open Market Committee minutes from mid-December. See: The Fed is heading for another catastrophe
Leon Westgate of Standard Bank says there’s a lot that could go wrong for gold prices, whether it be the eurozone, the FOMC minutes or the jobs report.
“Gold is surprisingly firm given all the noise,” he said. “However, this seems to be explained by a key technical break higher through €1,000 in Euro gold.”
In other metals trading, palladium for March delivery PAH5, -0.09% added 75 cents to $799.65 an ounce, while April platinum PLJ5, -0.07% gave up $1.80 cents to $1,219.60 an ounce. High-grade copper for March delivery HGH5, -0.16% dropped a penny to $2.76 a pound.
Source : Marketwatch