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1 Nov 2013
Gold declines, crude consolidates as DXY rises for a sixth straight day
FXstreet.com (Athens) – Gold is trading lower in the last day of the week, mostly due to the continuing DXY strengthening while crude oil is consolidating around 96.35 area.
Gold is heading south on Friday, currently trading at 1.315,15 down 0.49% amidst a risk-off environment which bolsters the demand for the American dollar. The DXY index rises for a sixth day, trading now at 80.47, up 0.27%. Last week, the index hit a nine-month low of 78.998 on Friday. Market participants could also well attribute the gold fall to the fact that commodity funds sold to square books at the end of October, and as investors kept selling after the Federal Reserve's latest policy outlook offered few surprises. On the other hand, crude oil is lethargic today, absolutely muted at $96.27/barrel. Yesterday, U.S. crude settled down 39 cents a barrel at $96.38. Briefly, it posted a 5.8 percent drop for the month, its biggest such drop in a year. Finally, Brent oil is heading downwards at 108.66 down, down 0.28%, as traders book profits and turn their focus to the end of the U.S. refinery maintenance season, which is expected to boost demand for U.S. crude.
Gold is heading south on Friday, currently trading at 1.315,15 down 0.49% amidst a risk-off environment which bolsters the demand for the American dollar. The DXY index rises for a sixth day, trading now at 80.47, up 0.27%. Last week, the index hit a nine-month low of 78.998 on Friday. Market participants could also well attribute the gold fall to the fact that commodity funds sold to square books at the end of October, and as investors kept selling after the Federal Reserve's latest policy outlook offered few surprises. On the other hand, crude oil is lethargic today, absolutely muted at $96.27/barrel. Yesterday, U.S. crude settled down 39 cents a barrel at $96.38. Briefly, it posted a 5.8 percent drop for the month, its biggest such drop in a year. Finally, Brent oil is heading downwards at 108.66 down, down 0.28%, as traders book profits and turn their focus to the end of the U.S. refinery maintenance season, which is expected to boost demand for U.S. crude.