Gold price sees moderate rebound from Tuesday's losses

New York (Nov 6)   Gold prices are moderately higher at midday Wednesday, on an upside correction after suffering sharp losses Tuesday. Rallying world stock markets that saw the U.S. indexes score record highs on Tuesday continue to squelch buying interest in the safe-haven metals. However, the U.S. stock indexes are seeing a mild pullback today, which is encouraging some bargain hunting in the gold market. December gold futures were last up $7.50 an ounce at 1,491.10. December Comex silver prices were last down $0.023 at $17.545 an ounce.

Trader and investor risk appetite remains upbeat at mid-week, amid no major developments on the U.S.-China trade front and no geopolitical flare-ups. The sense of the marketplace now is that a partial U.S.-China trade deal will be signed soon. The Chinese currency, the yuan, hit a three-month high versus the U.S. dollar this week and dropped back below the key 7-per-dollar level, as Chinese traders also reckon a signed trade deal is close.

The key “outside markets” today see the U.S. dollar index slightly weaker. Nymex crude oil prices are lower and trading around $56.30 a barrel.

Reuters