Gold rallies 2% to fresh record highs
Gold prices rose on Thursday as the dollar dipped against most major rivals, with the previous metal attracting haven demand amid concerns about Trump’s trade policies and the Fed’s policy statement.
Earlier data showed US GDP growth clocked in at 2.3% in the fourth quarter of 2024, below estimates of 2.7%, and down from 3.1% in the third quarter.
US unemployment claims fell to 207 thousand in the week ending January 25 from 223 thousand in the previous reading, besting expectations of 224 thousand.
The Federal Reserve decided yesterday to maintain interest rates unchanged at 4.25% as it takes a more cautious approach to policy easing.
Now markets await US consumer spending data tomorrow, expected to show a 0.2% increase in December.
Otherwise, the dollar index fell 0.1% as of 20:39 GMT to 107.7, with a session-high at 108.1, and a low at 107.5.
On trading, gold spot prices rose 1.8% as of 20:39 GMT to $2844 an ounce, surpassing $2800 for the first time ever.
Wall Street declines as investors assess corporate results
Most US stock indices fell on Thursday after the release of a new batch of corporate earnings results for the fourth quarter of 2024.
Earlier data showed US GDP growth clocked in at 2.3% in the fourth quarter of 2024, below estimates of 2.7%, and down from 3.1% in the third quarter.
US unemployment claims fell to 207 thousand in the week ending January 25 from 223 thousand in the previous reading, besting expectations of 224 thousand.
The Federal Reserve decided yesterday to maintain interest rates unchanged at 4.25% as it takes a more cautious approach to policy easing.
Now markets await US consumer spending data tomorrow, expected to show a 0.2% increase in December.
On trading, Dow Jones rose 0.1%, or 43 points as of 16:18 GMT to 44,756 points, while S&P 500 rose 0.1% to 6040 points, as NASDAQ slipped 0.4%, or 73 points to 19,558 points.
Oil prices extend losses to four-week trough after US inventory buildup
Global oil prices fell in American trade on Thursday, plumbing four-week lows after a large US inventory buildup.
US GDP growth missed expectations in the fourth quarter, which also renewed concerns about demand in the US.
Prices are also pressured by concerns about US President Donald Trump’s aggressive tariff plans on Canada and Mexico next week.
Prices
US crude futures fell 1.25% today to $72.05 a barrel, with a session-high at $73.04.
Brent shed 1.2% to $75.02 a barrel, the lowest since January 2, with a session-high at $75.92.
On Wednesday, US crude lost 1.3%, while Brent shed 2.2% on concerns about US demand.
US Stocks
The Energy Information Administration reported a buildup of 3.5 million barrels in US crude stocks last week to 415.1 million barrels, while analysts expected an increase of 1.1 million barrels.
Gasoline stocks jumped by 3 million barrels to 248.9 million barrels, while distillate stocks fell by 5 million barrels to 124 million barrels.
US Growth
Earlier data showed US GDP growth clocked in at 2.3% in the fourth quarter of 2024, below estimates of 2.7%, and down from 3.1% in the third quarter.
Otherwise, the White House said on Tuesday that President Trump still plans to impose 25% tariffs on both Canada and Mexico starting next Saturday.
