Noor Trends News, Technical Analysis, Educational Tools and Recommendations
Key Highlights
- Gold Prices Hold Steady:
- Spot Gold: Unchanged at $2,633.40 per ounce.
- Gold Futures (Feb): Slight dip of 0.2% to $2,649.91 per ounce by 05:20 GMT.
- Weekly Performance: Set to gain 0.3%, recovering from a 1% decline last week.
- Muted Trading Activity:
- Year-end holidays reduced trading volumes as institutional traders closed their books.
- Fewer economic data releases and policy decisions resulted in limited price volatility.
- Impact of a Strong Dollar:
- The U.S. Dollar Index remains near a two-year high, pressuring gold prices by making it more expensive for non-dollar buyers.
- Hawkish signals from the Federal Reserve, indicating only two rate cuts in 2025 compared to prior expectations of four, have further weighed on gold.
Other Precious Metals
- Platinum Futures: Unchanged at $954.50 per ounce.
- Silver Futures: Stable at $30.38 per ounce.
Industrial Metals Update
- Copper Prices Rise Slightly:
- Benchmark Copper Futures (LME): Up 0.5% to $9,008.50 per ton.
- February Copper Futures: Edged down 0.1% to $4.1360 per pound.
- China Smelter Charges Reflect Shortage:
- China’s smelters reduced copper concentrate treatment and refining charges for Q1 2025 by 28.6%, signaling a shortage.
- New rates: $25 per metric ton and 2.5 cents per pound, down from Q4’s $35 and 3.5 cents.
- Strong Dollar Limits Copper Gains:
- While the concentrate shortage supported copper prices, the robust dollar capped significant upside.
Conclusion
Gold prices are steady in thin year-end trading, with modest weekly gains despite a strong dollar weighing on momentum. Industrial metals like copper reflect a nuanced trend, with supply-side constraints offering support, though broader dollar strength remains a headwind. Market focus now shifts to early 2025 for potential catalysts in both precious and industrial metals.
