Investor’s risk-off mood remained for today too, Thursday. Gold price fell today a bit more, but remained within the trading range, thanks to gold hedge properties.
Comex gold futures for August delivery price fell by $8 to be traded at $1,384 while gold price in the spot market lost $3.30 of its value to be traded at $1,385.50. London AM gold fix today was higher today at $1,386.25 compared to the previous PM gold fix at $1,382.75.
Markets around the world saw risk aversion from the investors through this week, on fear of ending the easy monetary policies in several major countries. The effect of this fear was seen in the Asian, European and American markets, as well as gold and other commodities market.
The Japanese stock market index, Nikkei, lost 20% of its value since last month, dropping by 6% for Thursday. Nikkei index now is below 13,000 critical resistance by more than 550 points. In mainland China, the holiday still having its toll on Shanghai stock and gold market. Investors now worry from this dimness travel overseas to the US stock market.
Investors now await the FOMC and the G8 meetings to understand the world governments’ monetary policies. There is a selling pressure on different safe-haven assets, including gold. Moreover, the USD index hit a four-month low.