Commerzbank: India's Holiday Gold Demand Met With Stocks

New York (Apr 19)  Moderating U.S. inflation could end up reducing the amount of monetary tightening from the Federal Reserve, eventually underpinning gold, says TD Securities. “Gold prices remain relatively range-bound as money managers weigh the prospect of future Fed hikes amid a weakish USD [U.S. dollar] and flattening yield curve, in combination with the recent waning of the safe-haven premium and strong producer selling above $1350/oz,” TDS says. “However, we continue to expect that moderating inflation momentum will remove any impetus for the Fed to get restrictive, which could see the yellow metal move higher still.” As of 7:37 a.m. EDT, spot gold was up 25 cents at $1,349.35 an ounce.

Reuters