Gold gains on fears U.S. default risk chance on increase
Gold prices rose on Monday after a fiscal deadlock in the U.S. Congress threatened to send the government into default possibly later this week, which weakened the dollar.
Gold and the dollar tend to trade inversely with one another.
Gold futures were likely to find support at USD1,262.60 a troy ounce, Friday's low, and resistance at USD1,330.10, Tuesday's high.
Talks between the White House and congressional Republicans and Democrats remained in a deadlock on Monday, with both sides still unable to agree on a short-term debt ceiling increase.
The U.S. is due to hit its debt ceiling likely on Thursday, after which Washington won't be able to guarantee all of its obligations.
Gold and the dollar tend to trade inversely with one another.
Gold futures were likely to find support at USD1,262.60 a troy ounce, Friday's low, and resistance at USD1,330.10, Tuesday's high.
Talks between the White House and congressional Republicans and Democrats remained in a deadlock on Monday, with both sides still unable to agree on a short-term debt ceiling increase.
The U.S. is due to hit its debt ceiling likely on Thursday, after which Washington won't be able to guarantee all of its obligations.
Crude prices rise on bargain hunting, solid euro zone output data
Bottom fishers snapped up nicely priced oil positions on Monday and erased losses stemming from fears the U.S. government risks defaulting on its debts and slowing growth at home and possibly abroad as a consequence.
Negotiations between the White House and congressional Republicans and Democrats remained in a deadlock on Monday, with both sides unable to agree on a short-term debt ceiling increase.
A government shutdown, also the product of congressional ability to agree on a spending package, was set to enter its third week this week.
World finance ministers and central bank chiefs gathered in Washington for the annual meeting of the International Monetary Fund and World Bank, calling for urgent action to end the stalemate and avoid default, which could bruise global economic recovery and crimp demand for energy.
Negotiations between the White House and congressional Republicans and Democrats remained in a deadlock on Monday, with both sides unable to agree on a short-term debt ceiling increase.
A government shutdown, also the product of congressional ability to agree on a spending package, was set to enter its third week this week.
World finance ministers and central bank chiefs gathered in Washington for the annual meeting of the International Monetary Fund and World Bank, calling for urgent action to end the stalemate and avoid default, which could bruise global economic recovery and crimp demand for energy.
Natural gas prices back off highs, stay firm on chilly weather forecasts
Natural gas prices fell back from earlier session highs but remained in positive territory as weather forecasts continued to point to cooler temperatures settling in over the central and eastern U.S. by late October.
Updated weather models called for seasonably mild temperatures to stick around through Oct. 23 for portions of the central and eastern U.S., though below-normal temperatures should settle in afterwards, which supported gas prices.
Uncertainty over how long the cool snap may run sparked profit taking, though prices remained in positive territory albeit in choppy trading.
Demand for natural gas tends to rise at the country's thermal power plants as temperatures fall, when homes and businesses throttle up on their heaters.
Updated weather models called for seasonably mild temperatures to stick around through Oct. 23 for portions of the central and eastern U.S., though below-normal temperatures should settle in afterwards, which supported gas prices.
Uncertainty over how long the cool snap may run sparked profit taking, though prices remained in positive territory albeit in choppy trading.
Demand for natural gas tends to rise at the country's thermal power plants as temperatures fall, when homes and businesses throttle up on their heaters.
Economic Events:
Time
|
Cur.
|
Event
|
Forecast
|
Previous
|
Tuesday, October 15
| ||||
14:00
|
GBP
|
CPI (YoY)
|
2.60%
|
2.70%
|
14:00
|
GBP
|
CPI (MoM)
|
0.30%
|
0.40%
|
14:00
|
GBP
|
PPI Input (MoM)
|
-0.40%
|
-0.20%
|
14:30
|
EUR
|
ZEW Economic Sentiment
|
59.4
|
58.6
|
18:00
|
USD
|
NY Empire State Manufacturing Index
|
7
|
6.29
|
19:30
|
USD
|
FOMC Member Dudley Speaks
| ||
21:00
|
USD
|
3-Month Bill Auction
|
0.04%
| |
21:00
|
USD
|
6-Month Bill Auction
|
0.0
| |
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