Gold price keeps close to three-month high

28.02.2017

During the morning session on the US stock markets, gold price has not changed that much, remaining close to a three-month peak of the previous session. Investors are awaiting the Donald Trump’s address to the US Congress.

Gold futures were down $ 0.35 or 0.1% to $ 1,258.75 per troy ounce, falling from the high of the previous session at $ 1264.90 - the highest level since November 10.

Spot gold price rose $ 5 to $1257.85 per troy ounce. On Monday, the price of gold reached $1,263.95 – the highest level since November.

On the COMEX, silver futures for May delivery fell $ 0.03 (0.2%) to $ 18.45 per troy ounce. The peak of the session was at $ 18.54 - the highest level since November 11.

President Donald Trump should present his first address to the Congress. Investors hope that it will shed light on the economic policy of his administration, in particular, the forthcoming tax reform and the spending on infrastructure projects.

Investors will also be curious to learn more about Trump’s plans concerning the abolition of Obamacare and deregulation in the US business.

The focus remains on the US statistical data. Investors expect to receive additional signals about the possibility of a rate hike by the Fed during its March meeting.

According to the Conference Board, the US consumer confidence index for February rose to 114.8 against the value of 111.6 in the previous month, increasing optimism about the US economy, the engine of which is the growth of the consumer sector.

The growth of the US economy in the fourth quarter remained unchanged at 1.9% against 2.1%, despite the unexpectedly high growth in consumer spending.

A number of recent reports have strengthened the belief that the US economy is strong enough to raise interest rates in coming months.

The US Dollar Index, which shows the value of the dollar against a trade-weighted basket of six major currencies, in early trading on the New York Stock Exchange fell 0.3% to 100.85 positions.

Profitability of 10-year US government bond is 2.356%.

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