New York gold price trades lower
New York (Nov 12) The price of an ounce of gold eased again overnight, with futures for December delivery down 0.4% to US$1081 an ounce. In electronic trading, at one point gold dipped to US$1074 an ounce.
The yellow metal remains under price pressure from a pending U.S rate increase, and investors are transitioning from the asset class.
But a benefit for Australia.
Higher U.S. interest rates makes a stronger U.S. Dollar, and therefore a weaker Australian Dollar, and therefore Australian domiciled producers are somewhat insulated from the recent fall.
Considering an FX rate of AUD / USD 0.712, this price gold at A$1450 an ounce, providing significant margins for those pouring at an all-in-cost of under A$1100 an ounce.