Global Gold Prices Hit High in Session Following 4.4 Percent Drop in Durable Goods Orders

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Global gold transactions are currently benefiting from the recent growth of risk sentiment in financial markets as US investors from stock markets run into the gold sector for a more defensive asset. Gold Futures today reported a session high after news of a 4.4 percent drop in the orders of durable goods came out.

The gold market, which was keeping within a tight range, ahead of the report related to the change, hit a session high and reported a stark increase after news of the drop in the percentage of durable goods orders was released. The gold futures for December are currently trading at $1,227.3 per ounce, which is 0.5 percent more than the starting price before the session.

Gold prices have been within a tight range for the last couple of days; hence this increase will please investors thronging the gold market currently.

The stock market for the United States stalled on Tuesday, leading to the interest of eagle-eyed investors in gold as a suitable alternative.

Bank of Canada Hints at Big Changes

The Bank of Canada in Ottawa has said that it will review its monetary policies and will soon be making important changes in it. A senior official from the bank spoke on Tuesday and mentioned that the country might move away from the practice of targeting inflation.

The deadline, before which we can expect this review, is 2021. This is when the central bank of Canada will review the five-year inflation agreement and discuss it with the federal government. The inflation target in Canada has been set at 2 percent since the last 23 years.

Carolyn Wilkins from Bank of Canada spoke at a recent event and made these claims. She said that it was time that the Bank and the Federal Government make an authentic and a detailed review of all the alternatives that they could try on.

Wilkins also talked about the interest rate, and the implications of lowering it. She said, “There are several intriguing frameworks that merit further exploration, although none is perfect. That is why I want to see a side-by-side assessment of them.

A change in policy from Canada could affect gold prices globally in both ways. How this change transpires, still remains to be seen.

Russian Gold Output from Jan-Sept Rises

Latest news from Moscow has revealed a surprising increase in the gold output within Russia during the period Jan-September. Russia, which is significantly increasing gold reserves, produced some 231.65 ton of gold during the first 9 months of the year. This figure is up from the 227.88 ton that was produced by the country back during the first 9 months last year. The figures are believed to be revealed by the finance ministry during a press conference today, 21st November.

Silver production for this period totaled 801.81 ton, which has also increased from what it was last year. In the first 9 months of 2017, Russia produced around 788.14 ton of Silver.